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Where Taxpayers and Advisers Meet

CGT on Property now lived in but renovated after renting

Jess James
Posts:2
Joined:Fri Oct 10, 2014 11:27 am
CGT on Property now lived in but renovated after renting

Postby Jess James » Mon Jul 15, 2019 4:01 pm

Hi, I have a property A which I rented out for around 3 years (Until Oct 2018), I have lived in property B Until Oct 2018

In Oct 2018, I started to live in and renovate property A, with a view to rent out property B.
So the big gain in house value has happened after I moved in as I am renovating the whole house.

Property A property cost me £350k when purchased in Oct 2015, It was worth around £400k back in October 2018.
However, once I finish my renovations, it may be worth £550k..
I was never planning to sell the property and was hoping to live there for the long term, however personal circumstances may force me to sell the house.

What would be my CGT calculation/liability.
Any help is appreciated.
Thanks
Jess

pawncob
Posts:5099
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: CGT on Property now lived in but renovated after renting

Postby pawncob » Tue Jul 16, 2019 12:27 pm

The gain will be time apportioned, with relief for PPR occupation/letting relief and the costs of refurbishment, so far as deductible.
With a pinch of salt take what I say, but don't exceed your RDA


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