Calculating CGT when you don't have original sales / purchase docs

notfair_2

We bought a flat back in 2006 and are thinking of selling however we don't have any of the original documents eg sales agreement, mortgage setup costs, stamp duty or even bank statements.
In this situation, is the process to use the sales price on the deeds? I assume we can deduct stamp duty costs? Can we claim anything for solicitor costs (memory/estimate about £1,200) and mortgage setup costs (estimate about £3,000).
Either way, we should be under the CGT threshold as likely only £15-20k profit/gain which is split between 2.
Thanks in advance

oldbikebloke

your tax return is SELF assessed - you may take whatever gambles you want to when completing it. However, the rules on what you should do are clear:
https://www.gov.uk/capital-gains-tax/records

If you fill in your tax return using recreated records, you’ll need to show where figures are:

• estimated - that you want HMRC to accept as final
• provisional - that you’ll update later with the actual figures

if, however, HMRC were to select it for a random check, without paperwork any costs you claim could be rejected.
If there is no tax to pay anyway, why gamble?
 
The purchase cost itself should be a matter of public record on the land registry sold prices list.
On that basis you may be able to recreate SDLT paid if price > whatever threshold applied at the time (historic SDLT rates can be googled).
Re other costs, how can you possibly justify when you don't even have bank statements to confirm a payment amount, let alone the ability to evidence what that amount was actually for on an invoice.

"mortgage setup costs (estimate about £3,000)"
I assume you mean arrangement fees? If so those are not allowed as costs against CGT 

greatcrested

Land Registry record the most recent sale price here for £3.

Of course, if you've recently sold the property (and the LR has already registered your sale) it will now show your sale price, but this seems unlikely. More likely it shows the 2006 price.

You can deduct various costs from your gain eg buying/selling costs. Without supporting documentation, I imagine that provided these are 'reasonable' HMRC will not query them.

https://www.gov.uk/capital-gains-tax/report-and-pay-capital-gains-tax

https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg15250

notfair_2

Thanks guys - yes, I have the land registry deeds doc with the purchase price from 2006 & can get the stamp duty rate paid.
Makes sense just to put those on then, especially as no CGT to pay anyway. First time I've done this so was a bit unsure.
Thanks

oldbikebloke

notfair_2 said:

Makes sense just to put those on then, especially as no CGT to pay anyway. 

perfect, two cast iron certain figures. No worries there then