BTL and CGT

Double_Fault_Blues

I'm not alone in thinking that CGT might be equalised with income tax rates in the budget on 30th October.
I'm making an assumption (maybe rash) that this would take effect from the 2025-26 tax year.
If this is the case I have a 7 month window in which to sell my single BTL property and pay tax at a lower rate.  I would be selling for a gross gain of approximately £200k. 
As I understand it, the calculated  CGT has to be paid with 60 days of completion.
I have around £50k of share losses accumulated to and declared  on my self-assesment return  to
year 2022-23.  I will also have losses to declare for the year 2023-24 of around  £20k. (Self assessment not yet submitted)
 I am also prepared to liquidate stocks and shares during the current tax year to declare further losses of around £100k. I assume this would have to be carried out in the same  tax year as the BTL sale?
Am I right in thinking all of the above losses can be offset against the CGT property gain?
When I declare the the BTL gain, can I deduct the declared £50k losses or must  pay I pay the tax on £200k and reclaim the tax on £50k  later?  Similarly the losses for 2023-24 if I submit a self assessment before the BTL sale?  
I would assume I will have to pay tax on the gain that will have not been reduced by the losses for 2024-25 and submitting a repayment in due course?

Thanks in advance
 DFB  

Jeremy535897

If you want to use losses in calculating the tax due on the sale of residential property, they must be realised before the property is sold. 
There is one exception to the requirement to report a capital gain (on which tax is due) on the sale of residential property using the online system; where a self assessment tax return is filed within 60 days of completion of the property transaction (ie, before the deadline for the CGT PPD return), it is not necessary to file a CGT PPD return. Practically this only affects property disposals that occur at the very end of the tax year.

Double_Fault_Blues

Thanks for this.
So in calculated tax due within 60 days of sale I might well be offsetting reported accrued losses (via self assessment 2022-23)
also losses for the 2023-24 tax year (self assessment not yet submitted) plus realised
losses for the current year prior to date of sale? 

Jeremy535897

When you complete the online return, there is a section on losses and annual exemption:

Enter losses and exemptions

Do you want to include any other Capital Gains Tax losses made in tax year 2024 to 2025?

Yes/No

Do you want to include any other Capital Gains Tax losses made in previous tax years?

Yes/No

How much of your client’s Capital Gains Tax Annual Exempt Amount do they want to use?

£3,000

You can include losses realised in 2024/25 by the time the property sale is made.

Double_Fault_Blues

Thank you
By "online return" I assume you are not referring to the yearly self assessment
2024-25 since this won't yet be "completable"
  Where have you extracted "Enter Losses and exemptions from  etc...?
Is this within the CGT PPD online form ...to yield a paper output?
Sorry if I'm being a little slow.. 

Jeremy535897

See https://www.tax.service.gov.uk/capital-gains-tax-uk-property/start/report-pay-capital-gains-tax-uk-property

Jeremy535897

Double_Fault_Blues said:

Thank you
By "online return" I assume you are not referring to the yearly self assessment
2024-25 since this won't yet be "completable"
  Where have you extracted "Enter Losses and exemptions from  etc...?
Is this within the CGT PPD online form ...to yield a paper output?
Sorry if I'm being a little slow.. 

The text is indeed from the online return. see the "start" box in the link above.

Double_Fault_Blues

Thanks for this.
I have performed a dummy run through the online return. I note that although I can offset losses
for the current tax year 2024-25 that have been realised but not declared, I must have reported losses for the
previous tax year 2023-24 via a self assessment to offset here.
Here's hoping that "losses made on other UK property sales or disposals" (see below) can include my share losses!
 
I 

Do you want to include any other Capital Gains Tax losses made in previous tax years?

You can include previous losses in this return to reduce your gain. You can only include other losses made on other UK property sales or disposals that you have already reported to HMRC.

Jeremy535897

I think that this appalling grammar means you can include previous losses on any shares etc, but you can only include UK residential property losses in 2024/25 that you have already reported online.