Who works out tax due for capital gains on property?

UKSBD

Who's duty is it to do tax calculations on Capital Gains on property?

Hypothetical but assuming

Buy Property in 1990 for £50,000 and is main residence.

Move out in 2010 to new main residence.

Sell property in 2017 for £250,000

Do you;

1. Just send dates and figures to HMRC and they do the calculations and tell you what capital gains to pay

or

2. You have to do the calculations yourself (employ accountant) and then pay what your calculations say?

badger09

You do. Or you pay someone to do it for you.

You might find this useful


https://www.gov.uk/tax-sell-property/work-out-your-gain

UKSBD

badger09 wrote: »

You do. Or you pay someone to do it for you.

You might find this useful


https://www.gov.uk/tax-sell-property/work-out-your-gain

Thanks, I had already read that, I just wanted to know if we had to do it or whether we could just submit the figures and leave it to them.

Biggles

You work out the gain (but you supply the dates and figures and they'll check them anyway) and they tell you how much tax is due on it.

No experience in CGT on property but I would assume, in your hypothetical, it would be 250,000 minus market value in 2010?

bigadaj

If the property was your main residence then there was a three year exemption before you became liable for cgt, unsure if this has now been removed.

badger09

bigadaj wrote: »

If the property was your main residence then there was a three year exemption before you became liable for cgt, unsure if this has now been removed.

I think its down to 18 months now. All in the guide I linked above;)