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Where Taxpayers and Advisers Meet

Do you pay Tax on New Builds you havent lived in?

lawman14
Posts:1
Joined:Wed Jan 17, 2018 6:16 pm
Do you pay Tax on New Builds you havent lived in?

Postby lawman14 » Wed Jan 17, 2018 6:22 pm

Hi my husband and I rent the house we live in. We are having a house built but do not plan to live in it and sell it as practically its going to be too small for our needs.
Weve searched everywhere but before we pay a Tax Adviser for the answer I wondered does anyone know.
As it will be our only home we own but do not intend to live in it will we have to pay CGT or any tax on the sale? We intend to sell it and purchase another house from the sale proceeds.

Many Thanks

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: Do you pay Tax on New Builds you havent lived in?

Postby bd6759 » Thu Jan 18, 2018 12:32 am

Its likely that this is a trade and you will need to pay income tax on the profit.

If it's not a trade, it will be caught by CGT.


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