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

Moving back to the UK after 20 years. CGT on sale of UK BTL.

chocaholic
Posts:23
Joined:Wed Aug 06, 2008 3:26 pm
Moving back to the UK after 20 years. CGT on sale of UK BTL.

Postby chocaholic » Sun Feb 20, 2022 8:49 pm

So, I have lived in Germany for the last 20 years. I will probably return to the UK in July or so.

I hope to sell my UK BTL at around July. The BTL sale gains would not be taxable if I was overseas, as I am selling for the same price as it was worth in 2015, when I was an expat. However, since I will be back in the UK, is there a way to avoid CGT? Does it count at all in my favour that I have been an expat for years, and visited the UK infrequently.
I will be coming to the UK with my spouse and my 2 school going children.

maths
Posts:8527
Joined:Wed Aug 06, 2008 3:25 pm

Re: Moving back to the UK after 20 years. CGT on sale of UK BTL.

Postby maths » Mon Feb 21, 2022 9:20 pm

By selling as a non-UK resident it would appear no CGT arises as no change in value since April 2015.

Selling as a UK resident would presumably give rise to a CGT charge as any gain is based on original purchase price. If the property has ever been your sole/main residence since purchase some relief would be available but it does seem it has always been a BTL?

A transfer of a % of your beneficial interest to your spouse prior to sale may mitigate any overall CGT charge.

chocaholic
Posts:23
Joined:Wed Aug 06, 2008 3:26 pm

Re: Moving back to the UK after 20 years. CGT on sale of UK BTL.

Postby chocaholic » Tue Feb 22, 2022 3:13 pm

Thank you.


Return to “International Tax”