Capital Gains Tax when selling a house

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Capital Gains Tax when selling a home
Free CGT Calculator:
www.optimiseaccountants.co.uk...
Read here: www.optimiseaccountants.co.uk...
Free CGT Calculator:
www.optimiseaccountants.co.uk...
Watch here: • Capital Gains Tax when...
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In this video you will learn from Louise Misiewicz & Simon Misiewicz, your property tax specialists, of Optimise Accountants
▶ What is capital gains tax?
▶ Why do you need to pay capital gains tax when you sell your home?
▶ What is Private Residence Relief?
▶ How does Private Residence Relief help you reduce Capital Gains Tax when you sell your home
▶ What is Lettings Relief? How does Lettings Relief help you save tax when you sell your home?
▶ What are the Capital Gains Tax rates paid to HMRC as a basic rate tax payer or a high rate tax payer?
▶ When does Capital Gains Tax needs to be reported to HMRC and paid to them?
Claim back overpaid SDLT here survey.zohopublic.com/zs/gsBUyp
Need a buy to let mortgage? survey.zohopublic.com/zs/GuCCYx
Incorporate your properties here www.optimiseaccountants.co.uk...
Claim Capital Allowances here www.optimiseaccountants.co.uk...
Hire a bookkeeper here survey.zohopublic.com/zs/NWCCv0
#Tax #HMRC #Property
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Work out how much CGT you will pay when selling a buy to let property. We will show you ways to reduce it too. Download today, save Tax tomorrow.
£9.95 to download
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#HMRC #Tax #CGT
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Our accountancy and tax services:
To see how we can help you - download our sales brochure here:
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• £159.90 1 X limited company accounts and 2 X self Assessment tax returns

Опубликовано:

5 авг 2024

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Комментарии : 63

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Use our new free Capital Gains Tax Calculator here: www.optimiseaccountants.co.uk/uk-capital-gains-tax-calculator/

@scotchandstocks Год назад

Just to update a little bit you guys might be able to support or deny. this year it should be a CGT allowance of 6000ish

@Simon-Misiewicz-US-UK-Taxes Год назад

We have done a couple of videos to update our RU-vid subscribers of the change of rates. £6000 capital gains tax exemption is for the 2023 2024 tax year but decreases again to £3000 the following tax year

@sssfff 9 месяцев назад

Hi, may I ask if your webpages be changed to a thicker regular font? The thin lines of the font on your webpages makes it quite difficult to read. Thanks!

@Simon-Misiewicz-US-UK-Taxes 9 месяцев назад

Your laptop should allow you to change the font size under accessibility if that helps?

@hedgefundshyster..3241 2 года назад

Thanku for your reply ..very helpful indeed..also as your partner mentions the three year rule still applies if I rent out and go back to my sole mortgage free property within 3 years...I will be excempt from CGT for that period no questions asked...4 years if it was for work commitments ...

@Simon-Misiewicz-US-UK-Taxes 2 года назад

I have to say that capital gains tax similar to inheritance tax is optional if you know what you are doing

@sssfff 10 месяцев назад

hi, so after I rent out and move back in, do I have to nominate it as my primary residence for the time I stay there (a year)? if I have move in and out of the property every other 2 or 3 years, but without nominating (didn't know about this rule until now), when I sell the house, can I still benefit from this rule?

@Simon-Misiewicz-US-UK-Taxes 10 месяцев назад

Please do get some tax advice about your particular case. Please do not take advice about this from anyone on social media. There are a number of traps you need to avoid.

@angelachu4379 2 года назад

Hello Simon and Louise. Thank you for sharing. My understanding Scotland taxation is slightly different. What about selling my HK (HK) property capital tax once I land in Scotland, Is it also 18-28%? Thanks!

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Same rules will apply for CGT

@thepuddlejumper500 Год назад

If you have two properties can you change your main residence to mitigate cgt and how long would you need to live in that property to enable your annual allowance to be applied?

@Simon-Misiewicz-US-UK-Taxes Год назад

Everyone gets a CGT annual exemption. There is no time period to get this allowance. PRR is the period in which you live in the property plus an additional nine months. This helps you mitigate to capital gains tax. The remaining period of ownership will be subject to CGT as normal

@joannaj4038 3 года назад

Hi Louise and Simon, thank you very much for this video- very informative, as usual. Is there a minimum period you need to live in the property to claim PPR relief? For example, can I buy a property for a residential purpose, flip it and use the proceeds to buy another one, flip it again and so on and so never pay CGT? Are there any other considerations that HMRC may take into account in such scenario?

@Simon-Misiewicz-US-UK-Taxes 3 года назад

Unfortunately caselaw is qualitative and not quantitative As search HMRC could make an enquiry to your capital gains tax return all land registry details when the property is sold and ask some difficult questions We have seen people that have sold two properties in quick succession doing exactly what you said even though they’ve lived in the property for more than two years and still made the person pay capital gains tax. Therefore I cannot say how long you need to be in a property because it could be different for every case according to HMRC

@joannaj4038 3 года назад

@@Simon-Misiewicz-US-UK-Taxes Thank you again, Simon.

@Simon-Misiewicz-US-UK-Taxes 3 года назад

Always welcome

@MrandMrsDIY 2 года назад

Hi There, just tried to download your CGT calculator and the page wasn't found, can you please see due one, thank you

@Simon-Misiewicz-US-UK-Taxes 2 года назад

We decided to disband the spreadsheets as we move to online tax calculators that will be free in due course.

@jcs3330 2 года назад

Hi, my main and only residence home is in Spain (I hold a residencia for 2.5 years), which I am selling to finance a new main residence in the UK. Will I have to pay Spanish CGT, has I will be paying uk 'Stamp Duty' for my new UK residence?

@Simon-Misiewicz-US-UK-Taxes 2 года назад

You will need to pay stamp duty land tax whenever you are buying a UK property investment. Capital gains tax is normally a tax you pay when you sell a property, you will avoid this tax if you are selling your main home

@steveinstamford 2 года назад

Very interesting video and thanks.Is there CGT to be paid if I sell my main residence to my ltd company?

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Not if you have always lived in the property but you will pay SDLT

@hedgefundshyster..3241 2 года назад

What happens if you rent out the only property you own and are under the annual CGT tax exempt allowance of £12.300 and it's your only income ...is that taken into consideration if you sell your home is capital gains tax still required..

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Please note that income tax and capital gains tax or separate. The £12,300 that you mentioned is for capital gains tax purposes and not income tax. Therefore, you will need to pay tax on any income that you get from your rental income. The £12,300 is allowed when the property is sold.

@jeffocarroll7848 Год назад

How does one nominate your home ? Currently renting and doing a refurb on newly acquired property.

@Simon-Misiewicz-US-UK-Taxes Год назад

You will have to nominate one property as your primary residence

@KT-sr3ko Год назад

Hi Louise and Simon and thanks for your advice. I've tried using your CGT calculator and it's giving us an allowance each as husband & wife for PRR. Neither of us has ever lived in the property as it's just a BtL. I sold 2 other properties about 3 years ago and paid small amounts of CGT but accountants never told me I could claim this. Is this right? I think I may need to use your services as I'm pretty local to you.

@Simon-Misiewicz-US-UK-Taxes Год назад

You should always be allowed an annual exemption for capital gains tax purposes which is £12,300.

@Simon-Misiewicz-US-UK-Taxes Год назад

www.optimiseaccountants.co.uk/

@x941 Год назад

Great video. I have a question: regarding you spread sheet calculator on your website; you say to only use this PRIOR to selling the property. I sold a property last year and neglected to pay CGT at the time, so I presume I'll have to pay a penalty. Can I still use your spread sheet calculator to make the basic calculations?

@Simon-Misiewicz-US-UK-Taxes Год назад

Yes of course. It just won’t provide penalties or interest

@x941 Год назад

Thanks 🙏

@Simon-Misiewicz-US-UK-Taxes Год назад

Always welcome 🙏

@eazybean6160 Год назад

Great informative video. One question. If there is a GCT liability on selling rental property (property worth £250k, chargeable gain of £50K) but you then use the proceeds of house sale to buy another rental property (buy new property £350k), does this impact the chargeable gain at all?

@Simon-Misiewicz-US-UK-Taxes Год назад

Please see my video reply

@karencrawford5102 2 года назад

I am a director of a ltd company but do a self assessment for a few personal owned properties. My accountant is invoicing for my personal accountancy with itemised costs for self assessment £150 and £250 for CGT workings and submission but is only putting down £75 on my self assessment for allowable accountancy fees. A small point but this seems wrong to me?

@Simon-Misiewicz-US-UK-Taxes 2 года назад

I would agree but please do check with them

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Additionally, who does your bookkeeping?

@karencrawford5102 2 года назад

@@Simon-Misiewicz-US-UK-Taxes I use quickbooks and my accountant is McLintocks a small firm in the north west

@karencrawford5102 2 года назад

@@Simon-Misiewicz-US-UK-Taxes I have checked with them but they are adamant the CGT accountancy fee is not an allowable expense only the fee for self assessment, even this they are only claiming half and they say it’s because we are directors of ltd business?

@kennyiklei 2 года назад

great video. thank you. what if I am away from the country but the property is being occupied by my children as they study or work in the region of the property?

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Unless you give the asset to your children it will remain to be your property

@kennyiklei 2 года назад

@@Simon-Misiewicz-US-UK-Taxes thanks

@Simon-Misiewicz-US-UK-Taxes 2 года назад

You are very welcome

@fairysox221 2 года назад

We have owned our home for 22 years and lived in it the whole time, Obviously it has increased in value massively since we bought it... would we pay capital gains tax if we sold it.

@Simon-Misiewicz-US-UK-Taxes 2 года назад

I have some very good news for you. There will be no capital gains tax as it is your main home and you have always lived in at

@fairysox221 2 года назад

@@Simon-Misiewicz-US-UK-Taxes That's a relief, we have spent most of our savings improving it over the years and between that and inflation we wouldn't even be able to afford to buy it ourselves on today's property prices... Thank you for the informative video and a big thank you for clarifying our situation as we we're a little worried !

@Simon-Misiewicz-US-UK-Taxes 2 года назад

You are very welcome.

@fairysox221 2 года назад

@@Simon-Misiewicz-US-UK-Taxes Subscribed and liked :)

@vp2272 2 года назад

Great video. I would like to gift my property over to my son. I am prepared to pay the capital gains. I would like to gift 20% of the property bit by bit over five consecutive tax years, is this something that I can do.

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Yes you can but check with your mortgage lender first

@vp2272 2 года назад

@@Simon-Misiewicz-US-UK-Taxes Thank you for that. The property does not have a mortgage. I was more wandering as to how HMRC would view these part disposals. I would like to gift house over different tax years in parts (i.e. 20% each year over 5 years) to utilise the CG annual exemption. Could HMRC scrutinise this approach and deem it as one transaction?

@Simon-Misiewicz-US-UK-Taxes 2 года назад

They could. As long as you have the evidence to prove that the transactions are below the CGT, there is nothing they can do about it

@Simon-Misiewicz-US-UK-Taxes 3 года назад

Read the article here: www.optimiseaccountants.co.uk/knwbase/how-long-do-i-need-to-live-in-a-house-to-avoid-capital-gains-tax-uk/ download the tax calculator here: www.optimiseaccountants.co.uk/tax-calculators/ Do you have a property/business tax related question? Why not get those questions answered by Louise & Simon every 3rd Monday of the month? Register here: optimiseaccountantsltd.as.me/TaxQA Property Expert Panel RU-vid live session, 1st Monday of every month: www.propertyinvestingfoundation.com/property-expert-panel-simon-misiewicz/

@Simon-Misiewicz-US-UK-Taxes 2 года назад

Use our new free Capital Gains Tax Calculator here: www.optimiseaccountants.co.uk/uk-capital-gains-tax-calculator/

@racoore7920 Год назад

So all that free advice??? And 4.5 k views?? 😂😂😂😂😂

@Simon-Misiewicz-US-UK-Taxes Год назад

I am glad you enjoyed it though

@jcs3330 2 года назад

@Simon-Misiewicz-US-UK-Taxes 2 года назад

I think I may have just responded to this question on the other video

@jcs3330 2 года назад

@Simon-Misiewicz-US-UK-Taxes 2 года назад

When a taxpayer sells a home in Spain, they are obliged to pay the infamous municipal capital gains tax (called the plusvalía municipal in Spanish) unless they have incurred losses from the transfer.

@Simon-Misiewicz-US-UK-Taxes 2 года назад

You will need to pay stamp duty land tax on the property that you buy in the UK in addition to any tax that you pay in Spain