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CGT on sale on only -rented- property

Hi

My wife and I want to sell a property which we owe since April 2000 and is currently being rented out. We moved out of it in June 2004 and have rented it out since April 2005. It is our only property as we sold our main property last year (September) and are currently renting a property ourselves. I am PAYE and my wife is a housewife. Are we liable to CGTs and if so is there any way to minimise this, perhaps by transferring ownership to my tax-exempted wife?

Any advice would be much appreciated. Thanks.

Comments

  • jimmo
    jimmo Posts: 2,287 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    If you've read some of the current threads you will have seen this one before. http://www.hmrc.gov.uk/helpsheets/ir283.pdf
    Print it off and keep it to hand.

    You claim main residence relief for the months you lived in the property.(and the last 3 years of ownership)
    You claim lettings relief for the months it was rented out

    Transfering ownership to your wife can be beneficial, but it can also be disasterous.

    You really need to calculate your Capital Gains as things stand in order to have any chance of judging whether any tweaks are likely to be worthwhile.
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