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Where Taxpayers and Advisers Meet

Selling a property abroad that has been owned before becoming a UK citizen

Egyptnewbie
Posts:1
Joined:Sun Nov 18, 2018 11:14 pm
Selling a property abroad that has been owned before becoming a UK citizen

Postby Egyptnewbie » Sun Nov 18, 2018 11:28 pm

Hello.

I am trying to find out if we are going to have to pay CGT on a property we want to sell in Egypt.

My husband is Egyptian and has owned a property in Egypt for many years, the property is in his name alone. He moved to the UK 6 years ago and he is now a UK citizen and we are both basic rate tax payers. We now have an opportunity to sell this property in Egypt, but I am concerned what the tax implications will be for us. He could obviously sell it and keep the money in an Egyptian bank account, but we want to use it to pay for building work on our home in the UK and therefore it will need to comeback to the UK as a lump sum.

Is he allowed to bring money from Egypt into the UK (we are not talking a massive amount - probably less than £80,000) as its from assets he owned long before becoming a UK resident and tax payer or are we going to have to declare it? Also if we do, we literally have no idea where to start with proving the initial investment as the house wasn't purchased it was built, and there are no such thing as receipts! I'm feeling a little overwhelmed by the whole thought of it.

I realise I am probably going to have to get some paid tax advice on this one, I just wondered if anyone had any advice?

Many thanks

pawncob
Posts:5090
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: Selling a property abroad that has been owned before becoming a UK citizen

Postby pawncob » Mon Nov 19, 2018 11:32 am

Yes the disposal is liable to UK Capital Gains Tax. No restriction on monies being brought to the UK, assuming Egypt allows this.
Base cost will be land plus building costs. (or valuation at 3/82 if owned then )
With a pinch of salt take what I say, but don't exceed your RDA


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