Selling second property

jezruss

I have a second property which I’m thinking of selling. Is it possible to work out the allowances I’m entitled to or do I need an accountant ?

macman

Allowances for what? You will pay CGT on the capital gain at your marginal rate, unless it's your principal residence, and it's quite easy to work out the amount owed, and what is deductible, with the info on the .gov.uk site.

jezruss

Thanks for your reply. 

It was allowances available on the gain I was looking for. From what I can gather it’s the capital from the sale minus the purchase price and the £12500 tax allowance. But I was trying to find out if it was worth adding my wife’s name for a further tax allowance. 

greatcrested

Who owns the property? You or you and your wife?

You can deduct selling costs from the gain, plus some other allowances. See the gov website.

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

Ber in mind the new rules require you to declare the sale and pay the tax within 30 days of the sale.

jezruss

Just me at the moment. 

greatcrested

jezruss said:

Just me at the moment. 

Then you pay the tax.

Slithery

Transferring half the property to your spouse just before selling to evade CGT is something that HMRC take a very dim view of and constantly look out for.