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Where Taxpayers and Advisers Meet

CGT query

Herbs16
Posts:79
Joined:Wed Aug 06, 2008 3:53 pm
CGT query

Postby Herbs16 » Wed Aug 30, 2017 4:23 pm

Quick calculation please?

I inherited a property in May 2014 at a probate value of £215000

I rented it for 1 year and 11 months, it was empty for the rest of the time, I didn't live in.

I sold it in September 16 for £250,000, with fees of £628

Does anyone know the CGT gain?

I do not understand the letting relief part.

Thanks

AnthonyR
Posts:321
Joined:Wed Feb 08, 2017 2:33 pm

Re: CGT query

Postby AnthonyR » Wed Aug 30, 2017 4:27 pm

Lettings relief only applies to properties that were, at one time, your main residence.

This doesn't appear to be the case here, so lettings relief won't apply.

As such, your gain is going to be £250,000 - 215,000 - 628 = 34,372.

Less your annual exemption of £11,100 = 23,272

Tax will be at 18/28% depending on your level of income (18% if you have remaining basic rate band, 28% on the remainder).
Anthony Rogers LLB CTA TEP
Fusion Partners LLP
anthony@fusionpartners.co.uk


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