This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

CGT CALC ON RENTED PROPERTY

Herbs16
Posts:79
Joined:Wed Aug 06, 2008 3:53 pm
CGT CALC ON RENTED PROPERTY

Postby Herbs16 » Tue Feb 20, 2018 1:17 pm

Hi
Can someone help on the numbers please?

Ive a additional property, details below;

Sold Dec 17 £369000
Selling fees £5823
Purchase cost May 2002 £117555
Purchase fees £2015
Retention costs? £2000

It as lived in until July 2011 when I rented it out to disposal

Im a basic rate taxpayer

many thanks

Peter D
Posts:10668
Joined:Wed Aug 06, 2008 3:37 pm

Re: CGT CALC ON RENTED PROPERTY

Postby Peter D » Tue Feb 20, 2018 3:01 pm

Please explain the retention costs. Provide your actual salary for the year ans did your wife live there as an owner with you.

Regards Peter

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

Re: CGT CALC ON RENTED PROPERTY

Postby Herbs16 » Tue Feb 20, 2018 3:26 pm

Hi
thanks
Retention, no idea, it was on the original invoice back in 2002, we will ignore for this purpose

Salary £29000

Solely owned in my name and I lived alone

Peter D
Posts:10668
Joined:Wed Aug 06, 2008 3:37 pm

Re: CGT CALC ON RENTED PROPERTY

Postby Peter D » Tue Feb 20, 2018 3:36 pm

So far I have :

Purchase 117,555 14/05/2002
Disposal 369,000 14/12/2017
Total Gain 243,607
PRR 165,444 127 187
Capital Gain 78,163
Lett Relief 40,000 Qual Days 1797
Net Gain 38,163
CG Allow 11,300
CGT 2,880 3,042

CGT Bill 5,922

Regards Peter

someone
Posts:533
Joined:Mon Feb 13, 2017 10:09 am

Re: CGT CALC ON RENTED PROPERTY

Postby someone » Tue Feb 20, 2018 3:46 pm

Was this leasehold?

Retention is an amount that the buyers solicitor holds back from the payment to you until the service charges for the year of purchase are agreed.

Assuming there are no unexpected bills you should get this eventually - but chase if you don't.

When I bought a flat it was *years* before my solicitors wrote to me asking if they could release the retention to the seller (I had no idea they still had it - infact it was a new firm taking over the business that actually contacted me)

I have absolutely no idea how the retention is accounted for as it's money you'll probably, but not definitely, get.

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

Re: CGT CALC ON RENTED PROPERTY

Postby Herbs16 » Tue Feb 20, 2018 3:48 pm

many thanks Peter

someone
Posts:533
Joined:Mon Feb 13, 2017 10:09 am

Re: CGT CALC ON RENTED PROPERTY

Postby someone » Tue Feb 20, 2018 3:51 pm

Ha! Just read your comment about 2002. There's probably a solicitors somewhere with 2000 of your money sitting in an account.

Good luck tracking that down (I believe it will be the buyers solicitor) as I'd bet all the records have been destroyed.

Possibly you can write it off and at least get the CGT deduction.

Peter D
Posts:10668
Joined:Wed Aug 06, 2008 3:37 pm

Re: CGT CALC ON RENTED PROPERTY

Postby Peter D » Tue Feb 20, 2018 4:58 pm

If you provide actual dates for all event I can get closer. Regards Peter

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

Re: CGT CALC ON RENTED PROPERTY

Postby Herbs16 » Thu Jun 21, 2018 9:49 am

Hi
Im preparing the tax return so have actual dates

21/5/02 Cost £117555
Stamp duty £1175
Legal fees £2015

11/12/17 Disposed £369000
Legal fees £5823

Lived in from purchase date until 1/7/11 when it was rented to date of disposal

Solely owned, other employed income for 17/18 £34402

CGT estimate please? many many thanks

Peter D
Posts:10668
Joined:Wed Aug 06, 2008 3:37 pm

Re: CGT CALC ON RENTED PROPERTY

Postby Peter D » Thu Jun 21, 2018 11:56 am

Here you go.

Purchase 117,555 21/05/2002
Disposal 396,000 11/12/2017
Total Gain 269,432
PRR 183,967 127 186
Capital Gain 85,465
Lett Relief 40,000 Qual Days 1807
Net Gain 45,465
CG Allow 11,300
CGT 1,908 6,599
CGT 0 0

CGT Bill 8,506

Regards Peter


Return to “Capital Gains Tax, CGT”