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Closed Tax Consultants

Anne Cheryl Davies
posted on Friday 24 April 2015
expired on Tuesday 23 June 2015
2 Question(s) | 1 Offer(s)
RH15, Burgess Hill, West Sussex
Need advice on Capital Gains Tax if I sell a property I have rented out since 2002 and done tax returns on. It was passed to me from my father via a Potentially Exempt Transfer over 7 years. My father is still alive. Gain is around £100,000/£120,000 not taking into account selling costs and I have spent around £20,000 getting it to a rentable condition (new kitchen, bathroom, boiler, plumbing). I have no other form of income but I want to sell because of the tenants have become more and more problematic over the years and I can't take the stress. I have a serious heart condition. Will I owe any Capital Gains Tax. I don't believe I will if the yearly allowances are all added up from 2002. Is this right? Can you advise. Over the phone is fine. What would you charge for, say, 15/30 minutes? Do I qualify for the yearly allowances during the PET period? Please can you help or advise?

Public Chat

  • On The Spot Tax Limited
    On The Spot Tax Limited, posted on Sunday 26 April 2015 Hi Anne. Thank you for your query. Capital gains tax and inheritance tax operate separately from each other. The capital gains tax annual allowances only apply in the year of sale so you'll only get the one, assuming only you own it. It sounds as though you haven't lived there since you became the owner. If you had, you might have received Lettings Exemption Relief of up to £40k. The cost you deduct from the proceeds will depend the capital gains tax position when the property was given to you. Did your father pay capital gains tax at that point. Perhaps not, if he had lived in it before he gave it to you. We would love to meet up with you, to get the full details and dates, and prepare your capital gains computation for you. There are many twists and turns in this area depending on the facts and it's easy to get it wrong. We can charge a fixed fee so you know where you stand. Thank you. Paula
  • Champ Consultants - Your Business Partner
    Champ Consultants - Your Business Partner, posted on Monday 27 April 2015 Hi Anne. In reply to your query the capital gains tax allowance is a one off allowance each year and lost if it is not used. As mentioned by Paula below this is an area which will require more information from you in order to assertain your potential cpaital gains tax laibility and whether there is one. I am happy to arrange a discussion with you and assist you with the calculations. Call me if you require any assistance and am happy to agree a fixed fee. Chantal at Champ Consultants.

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