Property Sale

[GILL88*]

Hi

I recently paid CGT of just over £9500 following the sale of a property that I had a part share in. After paying the CGT it occurred to me that that I was perhaps too hasty. Let me explain. I use an investment management company to invest in stocks / shares etc on my behalf. Each year they (usually) send me a consolidated tax report. For 2023-24, In the section of the report labelled 'Capital Gains Tax - Transaction Report' they advised of a carried forward loss of £20,480.57. I did not receive a consolidated tax report for 2024-25 - the investment management company that I use advised that I did not receive a report because 'you no longer hold any assets in the taxable account. Everything is now held in the tax free ISA'. I am trying to work out if I could have used that carried forward loss from 2023-24 to avoid paying that CGT on the property sale. Can anyone advise on this? If you perhaps need more information from me - just let me know.

Thank you for your time.

[wamstax]

If you had an allowable Capital Gains Tax Loss and noted it on your 2023-24 Tax Return to carry forward then that loss would have been available to set off against the property gain. I cannot see anything in the legislation that would nullify that CGT Loss merely because you later & in another tax year transferred the shares into an exempt fund.

If you did not note your CGT Loss in the 2023-24 tax return then you could file an amended 2023-24 Tax Return to record the losses as available for carry forward. Inevitably HMRC may want to query the loss to ensure that it was bona fide when you come to use the loss but then that would have been the same risk as if you had filed an 2023-24 tax return with the loss recorded.