2007-06-15 12:28:34 · 3 answers · asked by reem 1 in Business & Finance ➔ Taxes ➔ United Kingdom
I agree with Judy. She is absolutely right. Since you are moving within 2 years you will have to pay taxes on capital gains unless the reason for your move is for a drastic change in life like getting a divorce, death of a spouse, loss of job or other serious health issue.
2007-06-15 16:23:58 · answer #1 · answered by orange_slice 4 · 0⤊ 0⤋
It's not a penalty, but if you have a gain, it will be subject to capital gains tax. If you are moving due to a job change into a different area, or due to health reasons, you can avoid some of the tax, but if you are just deciding you want a different house, then you'll have to pay on the gain if there is one. If you own it and live in it for two years before you sell, then you would not have to pay tax on up to $250,000 of gain, $500,000 on a joint return.
Edward I is talking about rules that haven't been in effect since many years ago, so what he says is wrong.
2007-06-15 20:04:40 · answer #2 · answered by Judy 7 · 0⤊ 0⤋
If you buy another house for the same or higher price, within two years, no tax liability on any profit.
2007-06-15 19:35:34 · answer #3 · answered by ed 7 · 0⤊ 1⤋