Since the onset of the COVID-19 pandemic, there has been a marked increase in urgent Family Law cases as a direct result of the current climate, with the Courts reporting a 39% increase of cases in the Family Court of Australia and a 23% increase of cases in the Federal Circuit Court of Australia over a four week period in March and April 2020.
Buying your first home is very exciting but the majority of people don’t take into consideration a number of things when buying their first home.
- The recent case of Sandini demonstrates the circumstances in which a transferor spouse may be exempt from CGT when transferring property to their former spouse under family law orders.
- Family lawyers must have a well-grounded knowledge of the tax implications of property transfers and should not hesitate to obtain single expert taxation advice when required.
- Care must be taken when drafting family law orders, as simple mistakes can have significant tax consequences for parties.
The road down the family law property settlement path can be quite difficult and generally there is a sigh of relief once everyone has signed on the dotted line. However there is the issue of enforcement of Court Orders.
For a Binding Financial Agreement(or ‘BFA’) to be legal and binding, the couple must enter into the agreement of their own free will and be fully informed.