Q:Basically last Feb I brought a new build flat. It should have been ready in April but it will now be ready in the next couple of weeks. Since Feb, the price has gone up and I now want to sell this flat to move up the ladder (had pay rise at work as well).
what are the rules with capital gains tax? Do you have to live in it to not pay for the tax? I've read somewhere that the tax is exempt if it is your only address?
can anyone help?:confused:
Does he know about the 40% Capital Losses tax?
It is even worse than that. A Capital Loss is 100%
what are the rules with capital gains tax? Do you have to live in it to not pay for the tax? I've read somewhere that the tax is exempt if it is your only address?
can anyone help?:confused:
Put it on the market and the problem may well solve itself (Who knows, you might even have a capital loss to offset against future gains)
It's just that if it isn't ready yet, I don't see how you've got agents in to value it for you?
He'll be back in a months time asking why he's being offered less than he paid for it.
Does he know about the 40% Capital Losses tax?
It's just that if it isn't ready yet, I don't see how you've got agents in to value it for you?
If you didn't want to move in, you have a CGT allowance of ￡9,200. If the profit less buying and selling costs (include legal fees, valuation and estate agent fees) is less than this there is no CGT to pay.
Otherwise, ￡9,200 is CGT free (per owner).
There was a thread the other day on this very subject.
GG