My ex-wife and I bought a property together in 2006. In 2010, we separated, and since then, I have been paying half of the mortgage whilst living in a rented property elsewhere. She has agreed to buy my share of the property and I have accepted her offer of £92,000. Am I liable for tax on this amount? 

Arthur Weller replies: 

If the £92,000 is more than the value of your half of the purchase cost of the property in 2006, then you are making a capital gain. You have four years of principal private residence (PPR) relief (i.e., 2006 to 2010) plus nine months of PPR relief due to the final period exemption. If after the above (and taking into account the capital gains tax (CGT) annual exemption) you are still left with a CGT liability, then it is worth looking at HMRC’s Capital Gains Manual at CG65356 (similarly in HMRC help sheet HS281, at section 6), which states that if the transfer is made under a formal divorce or separation agreement it is possible to claim that the property has been your qualifying main residence since 2010, provided certain conditions are fulfilled.