Capital Gains Tax forms

Okey00001

(I hope I have posted in the correct forum)

We each have to complete Capital Gain Tax following sale of property.  How easy is it to do on the Government websites,  if we are not good with maths or understand the tax jargon? Would it be best to use a solicitor to do this?

[Deleted User]

Okey00001 said:

(I hope I have posted in the correct forum)

We each have to complete Capital Gain Tax following sale of property.  How easy is it to do on the Government websites,  if we are not good with maths or understand the tax jargon? Would it be best to use a solicitor to do this?

If you are not confident I would engage an accountant or tax advisor, not a solicitor. Getting matters wrong could ultimately cost a lot more than a one-off fee for the transaction. Don’t forget that you will also have to complete a self-assessment tax return to declare the gain and confirm the tax payable.

Okey00001

purdyoaten2 said:

If you are not confident I would engage an accountant or tax advisor, not a solicitor. Getting matters wrong could ultimately cost a lot more than a one-off fee for the transaction. Don’t forget that you will also have to complete a self-assessment tax return to declare the gain and confirm the tax payable.

It is the self-assessment tax return (CGT form) to declare the gain that I am not confident about.  Siblings who need to also compete the form - how is the one profit that is divided between siblings - shown on the tax form?

[Deleted User]

Okey00001 said:

purdyoaten2 said:

If you are not confident I would engage an accountant or tax advisor, not a solicitor. Getting matters wrong could ultimately cost a lot more than a one-off fee for the transaction. Don’t forget that you will also have to complete a self-assessment tax return to declare the gain and confirm the tax payable.

It is the self-assessment tax return (CGT form) to declare the gain that I am not confident about.  Siblings who need to also compete the form - how is the one profit that is divided between siblings - shown on the tax form?

Each complete a separate form with their individual share of cost, sale and gain.

The form is in addition to declaring the gain AND paying any tax within 60 days of the sale. See below:

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

Okey00001

Update:  We used our solicitor to complete the form. They are familiar with this type of work and charged about £100+VAT per person with a their stamp/signature on a letter for each one of us. 

For our peace of mind:  If we ever have any tax queries, this letter is evidence of the Capital gains tax. 

It is worth getting a professional to do CGT as anything to do with Tax is usually complex especially where more than 2 people are involved and for future reference.

eskbanker

Okey00001 said:

It is worth getting a professional to do CGT as anything to do with Tax is usually complex especially where more than 2 people are involved and for future reference.

You found it worth getting assistance from a professional, which is fair enough, but others are quite happy to do it themselves without paying for it, so it isn't really appropriate to generalise....

Okey00001

eskbanker said:

You found it worth getting assistance from a professional, which is fair enough, but others are quite happy to do it themselves without paying for it, so it isn't really appropriate to generalise....

Not generalising but recommending and that's it!  If you are good at accounting, then sure go ahead and do it yourself.  We had 5 people involved with CGT and no expert on finance so we utilised the professional assistance which freed up our time and no stress.