Where an FHL is acquired in personal names by a married couple, the most sensible ownership arrangement as far as income tax is concerned is for the property to be owned jointly. This is because (unlike the position with ordinary property businesses) ITA 2007, s. 837(3) provides an exception to the normal rule that income must be apportioned equally between a married or civil partnership couple; instead, it can be allocated in whatever proportion the two owners choose. In this respect it is treated the same as a husband and wife trading partnership.

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