council house sale

Heatherbee1949

My husband was living at home when his parents bought their council house on 1982. For ease of getting a mortgage they included his name in the purchase and he lived at home for about 2 years. When his mother died 5 years ago it was discovered that his name had not been removed from the deeds, which would have meant that he would inherit the house on his father's death. This would have his father's will irrelevant although that could have been overcome with family goodwill. However, Capital Gains Tax would have been applied to the whole estate so he and his father were made tenants in common. My husband had had no expectations of the house and, in fact, his 'share' will be divided between him and his siblings. 
So far so good. The form for calculating CGT due asks what was paid for the property, which was very low given the right to buy; There is a question about whether the house was bought below market value because someone wanted to help him/them. This is not relevant to 'right to buy', so NO. 
The form for reporting CGT asks for the market value and a family member has researched historically and come up with a sum that appears about right given that I bought a similar house in the wider area in 1980 for a little less. 
While nobody wants to pay more tax than necessary I do not want my husband (and the whole family effectively) to be charged with attempting to defraud.
What do people think please?

eskbanker

https://www.gov.uk/capital-gains-tax/market-value suggests that use of market value only comes into play in this scenario if the purchase was before April 1982, otherwise it's the price paid (unless some other exemptions apply).

mokell

Can some one help answer a some questions regard a council house? I lived with my mum,we bought our council house together in 1989. I moved out in 1996 when I got married and I live in a different house/have a mortgage with husband. I was a tenants in common with my Mum and she sadly passed away recently and the house ownership has transferred to me. I am swithering whether to rent or sell the property. If I sell the property, will I be liable for capital gains tax? Thanks in advance

macman

Already answered on your duplicate post.