A capital gains tax property sale question

[ziontrain]

Wombat3 said:

Can you advise where I can find information on the additional 3 years (if you move back in)

All I can find (on .gov) is that you'll get relief

"If at any time you did (live in it), you get relief for the time you didn’t let it out or use it for business. You’ll also get relief for the last 9 months you owned the property. This is extended to 36 months if:

you’re disabled
you’re in long-term residential care
you sold it before 6 April 2014"

(My wife is an "accidental landlord" & her house is currently rented out while we live in mine)

Edited by Wombat3 on Wednesday 29th March 14:29

Edited by Wombat3 on Wednesday 29th March 14:31

https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg65066

[Alpinestars]

Wombat3 said:

Can you advise where I can find information on the additional 3 years (if you move back in)

All I can find (on .gov) is that you'll get relief

"If at any time you did (live in it), you get relief for the time you didn’t let it out or use it for business. You’ll also get relief for the last 9 months you owned the property. This is extended to 36 months if:

you’re disabled
you’re in long-term residential care
you sold it before 6 April 2014"

(My wife is an "accidental landlord" & her house is currently rented out while we live in mine)

Edited by Wombat3 on Wednesday 29th March 14:29

Edited by Wombat3 on Wednesday 29th March 14:31

As I set our earlier. S223(3)(a) et sec

https://www.legislation.gov.uk/ukpga/1992/12/secti...

[rdjohn]

zbc said:

zbc said:

rdjohn said:

It looked like smoke and mirrors to me. We were resident for tax in France at the time, but i don't think that was the reason.

It probably was because you were in France. When they changed the property CGT rules for non residents a few years ago they allowed non-residents to rebase the value at April 2015 levels as one of the calculation options.

Just to add you would also have had a potential liability to CGT for this sale in France. Did you declare it?

That explains everything, thanks,

It will be declared in my final tax return in France. But there is unlikely to be a liability there as when she acquired the house the exchange rate was about €1.46 whereas last February it was more like €1.13. Fingers crossed.

[CoolHands]

Story today about not enough rental properties + coincidentally sale of rental properties has increased to record levels.

Obvious really, get taxed & penalised to death so why bother renting (for all the accidental landlords). Not worth the grief at all.

[zbc]

rdjohn said:

That explains everything, thanks,

It will be declared in my final tax return in France. But there is unlikely to be a liability there as when she acquired the house the exchange rate was about €1.46 whereas last February it was more like €1.13. Fingers crossed.

There's also taper relief in France which reduces the liability as time goes on which would seem to be a solution to some of the UK concerns up thread although the rates are higher than the UK as long as you aren't just flipping the properties you should be in a better place. Good link here https://www.notaires.fr/en/capital-gains-tax-prope...