Capital Gains Tax Return Question

frankiesowner

This isn't exactly a cutting tax question, more to do with self completed returns - but I couldn't find where to post. In the tax year 2021 - 22 my wife and I sold a flat which we jointly owned. It wasn't our main residence therefore we are aware we may have to pay tax on the gain. However having completed the calculation form online at HMRC it seems that we do not have any CG tax to pay, once we spilt the gain between us and our allowance and take into account the various costs associated with the buying and selling.
My question is since the calculation has determined we have no tax to pay on any gain do we still need to inform HMRC of the sale and the calculation leading to a nil tax to pay?
Thanks in advance.

Jeremy535897

You do not need to use the online reporting system if there is no tax to pay. If you were asked to complete a self assessment tax return for 2021/22, then you should declare the disposal if your share of the sale proceeds (together with the sale proceeds of any other chargeable assets) exceeded £49,200, even if there is no tax to pay. The same applies to your wife. Otherwise there is no need to declare it when there is no tax to pay

frankiesowner

Thanks but can I clarify.  Jeremy535897 said:

Jeremy535897 said:

......... you should declare the disposal if your share of the sale proceeds (together with the sale proceeds of any other chargeable assets) exceeded £49,200, even if there is no tax to pay. The same applies to your wife. Otherwise there is no need to declare it when there is no tax to pay

By sale proceeds do you mean any gain (profit) from the sale or my share of the sale value?  

But then you say - 'Otherwise there is no need to declare it when there is no tax to pay' - which implies I don't need to raise it in my tax return since the calculation reached from the HMRC website suggests there is no tax to pay.

[Deleted User]

Sale proceeds - total amount sold for. 

If sold for more than £98400 (£49200 each) therefore AND you are required to prepare a tax return you MUST include full details of the transaction in the capital gains pages, whether tax is payable or not. 

If sold for more than £98400 (£49200 each) therefore AND you are NOT required to prepare a tax return you do not need to inform HMRC unless there is a capital gain.

frankiesowner

Thankyou. Since I am required to submit a self assessment I will include the details however the calc says I have 0 tax to pay on the transaction so I will state that as well.

[Deleted User]

frankiesowner said:

Thankyou. Since I am required to submit a self assessment I will include the details however the calc says I have 0 tax to pay on the transaction so I will state that as well.

That’s fine - but you shouldn’t need to state anything. The calculation which accompanies the return will bear that out.

frankiesowner

[Deleted User] said:

frankiesowner said:

Thankyou. Since I am required to submit a self assessment I will include the details however the calc says I have 0 tax to pay on the transaction so I will state that as well.

That’s fine - but you shouldn’t need to state anything. The calculation which accompanies the return will bear that out.

Thanks. Yes that is what I was intending to do. I note there is a section in the self return that covers CG summary.