Tax payable by freeholder on extension of leasehold?

gipsybabe

I’ve recently purchased the freehold of the building I live in for £10K which has two flats. I am the leaseholder of my flat. The other leaseholder will be extending her lease soon. Will I be liable for CGT or any other tax on the £5K cost of her extension . Thank you. 

gipsybabe

Any forumites able to advise? Thank you.

Bookworm105

depends on lease length and method of "extension", but it is taxable 
HS292 Capital Gains Tax, land and leases (2023) - GOV.UK (www.gov.uk)

lots of other guidance via google
Tax and residential lease extensions - Edge Chartered Certified Accountants (edgeaccountants.co.uk)

come back if you can't understand specific points

gipsybabe

Thank you Bookworm105