CGT Tax - Did you buy the property for less than it was worth because the seller wanted to help you?

vouch0r

Does anyone have clarification on this question when calculating CGT Tax?

example:
if someone purchases a property for 30k less than market value as the seller wants a quick sale to move on ASAP, then the buyer sells that property for market value in years tine, does this allow the buyer to use the market value for CGT calculations under this question and mark this question as YES?

Jeremy535897

If the buyer and seller in the first and second transactions are unconnected (not close relatives for example), the gain is calculated comparing the price received on sale less the price paid on purchase, even if that was at a discount.

[Deleted User]

Unless the transaction was between connected persons, the price you paid, plus associated allowable costs, is your cost for capital gains purposes. 

Presumably this is not a main residence?

Jeremy535897

See https://www.gov.uk/hmrc-internal-manuals/capital-gains-manual/cg14541

Keep_pedalling

Presumably the property mentioned in this thread, so no the calculation will be based on the purchase price.

https://forums.moneysavingexpert.com/discussion/6192506/cgt-property-bought-at-below-value#latest

vouch0r

Thank you all, very clear now, good to read the manual on CGT - didnt know thats available online!

thanks keep_pedaling - you are correct and forgot i posted this already