The property is a second property & in both mine & my wifes name. We would like to claim back the building costs to offset capital gains tax. Can we claim 100% of building costs and would we liable to tax on the share of the property that we retain. Should our names be on the deeds as joint owners?
2007-02-28 03:45:34 · 5 answers · asked by TonyT 1 in Business & Finance ➔ Taxes ➔ United Kingdom
Yea good idea get your son to pay it for share of property it won`t cost you a penny
2007-02-28 03:52:15 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You would need to take the advice on a solicitor as to the best way to hold the property between you.
As for the CGT, your capital gain would be the selling price of the 75% share, less 75% of the aquisition costs, ie cost of the land and building and any other legal fees, divided equally between you and your wife.
When you come to sell the other 25%, you will be liable to CGT on the difference between 25% of the building and land costs and the selling price.
I expect you know about annual exemptions, etc.
2007-02-28 05:14:11 · answer #2 · answered by fengirl2 7 · 0⤊ 0⤋
Yes you can claim back the buidling costs to offset capital gains tax and yes you will be liable to pay tax on your share and you should put your names on the deeds as joint owners.
2007-02-28 03:52:22 · answer #3 · answered by london lady 5 · 0⤊ 0⤋
Yes get a solicitor to do the paper work to keep it legal
2007-02-28 06:14:21 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Yes - but beware of stamp duty.
2007-03-01 06:20:10 · answer #5 · answered by Anonymous · 0⤊ 0⤋