2007-09-09 20:51:58 · 4 answers · asked by Malik K 2 in Business & Finance ➔ Renting & Real Estate
In UK, yes, UNLESS the property is your 'Principle Private Residense' .. and has been for (most) of the time you have owned it ..
If you have more than one property, and decide to move into one before selling it, it can be to your advantage (but it gets complicated = see CGT on HMRC site)
NB. CGT differs in USA = there I believe you can 'roll over' the liability onto the next property and so on untill you sell the final house in the chain (and don't buy a new house with the proceeds).
2007-09-09 21:12:45 · answer #1 · answered by Steve B 7 · 0⤊ 0⤋
.yes. However if buy another property to let (within a certain time, not sure how long), you can get roll over relief .eg. Sell for 200,000 and buy a property for 150,000 to let and you will get 150,000/200,000= 75% relief on CGT. Obviously if you spend yhe whole amount you can defer all the tax till you sell that property. Remember the tax is only deffered and will become due along with any tax payable on the 2nd property. You can use this again and again until you stop using the money to buy new property to let.
2007-09-09 21:23:13 · answer #2 · answered by Anonymous · 0⤊ 0⤋
in case you sell the 1st abode now, having lived in it all of the time you owned it, there will be no CGT. in case you presently hire out the 1st components, once you come to sell it, in user-friendly terms the proportion of the earnings touching directly to the enable era would be chargeable. as properly, the astounding 24mths of possession would be exempt and there is likewise an additonal relief of £45k for a components which you have lived in and then set loose.
2016-10-10 07:18:52 · answer #3 · answered by ? 4 · 0⤊ 0⤋
Yes you do. It is my understanding that you are only CGT exempt when you sell your primary residence.
2007-09-09 21:13:04 · answer #4 · answered by enlightened goddess 4 · 0⤊ 0⤋