selling residential proerty

[al23]

Hi ,we own two buy to lets and a residential we want to sell the residential property and buy another residential property will we have to pay capital gains tax as we own a second property.
Thanks al23

[experience4u]

Residential property (your main residence) is exempt from CGT an falls under Private Residence Relief.

HMRC guidance states:

You don’t pay Capital Gains Tax when you sell (or ‘dispose of’) your home if all of the following apply:

you have one home and you’ve lived in it as your main home for all the time you’ve owned it-
you haven’t let part of it out - this doesn’t include having a single lodger
you haven’t used part of it for business only
the grounds, including all buildings, are less than 5,000 square metres (just over an acre) in total
you didn’t buy it just to make a gain

You don’t need to do anything. You’ll automatically get a tax relief called Private Residence Relief.

Hope this helps.