Tax in UK on selling property in Germany?

sellingmyhalf

Hi,  my brother and I have inherited a property in Germany in 2021 (I'm originally from there but have resided in the UK for over 30 years).  My brother is now buying me out.  The property has lost value since we inherited it due to being empty and significant water damage following a burst pipe. My brother will be paying me the nominal amount of £90000.  I have already paid inheritance tax on my share of the property as we did not inherit it from a direct relative.  Am I likely to be subject to any tax on this in the UK when I receive the funds?

MyRealNameToo

sellingmyhalf said:

 My brother will be paying me the nominal amount of £90000.  

Since when did £90,000 become nominal?

Overseas properties sold by UK residents are subject to CGT but if you say even at market value considering the damage it's still a loss then CGT doesnt apply as you've not made a gain. 

NorthYorkie

What was the value of your half-share of the property when you inherited it in 2021? That will be your base cost for capital gains purposes.

You say you are selling to your brother for a 'nominal' amount which suggests that your half-share is now worth more than £90,000. Therefore the actual price you receive will be ignored and the 'open market value' of your share will be substituted instead. Depending on what these two values are, you may in fact have a capital gain