CONFUSING: 2024 Capital Gains Tax (CGT) Rates when selling residential property

International Tax Advice for US & UK Expats

Подписаться 23 тыс.

Просмотров 7 тыс.

50% 1

Who is likely to be affected
Individuals, trustees and personal representatives who are liable to pay Capital Gains Tax (CGT) on residential property gains. Private Residence Relief (PRR) will continue to apply on disposals of main residences.
General description of the measure
This measure reduces the higher rate of CGT on residential property gains from 28% to 24%. The lower rate will remain at 18%.
In this eye-opening video, I reveal my secret strategies to legally minimize Capital Gains Tax (CGT) and save thousands of pounds! 💰 Learn how to navigate the complex world of UK tax law and optimize your finances like a pro. I'll walk you through important dates, essential tax forms, and provide two real-life examples that will blow your mind! Discover how to leverage tax allowances, exemptions, and deductions to your advantage. Don't miss out on this game-changing information that could potentially save you a fortune! #TaxTips #UKTaxLaw #CapitalGainsTax #MoneySavingHacks #FinancialFreedom
Policy objective
Cutting the 28% rate of CGT to 24% is expected to incentivise earlier disposals of second homes, buy-to-let property and other residential property where accrued gains do not fully benefit from PRR. This will generate more transactions in the property market, benefitting those looking to move home or get onto the property ladder.
Use our free US/UK tax calculators: www.optimiseaccountants.co.uk
Need to file UK or US tax returns? Let us know here www.optimiseaccountants.co.uk...
Transfer US$ and UK without the high commission and fees: www.currenciesdirect.com/regi...
Book UK tax consultations: Use code RU-vid15 to get a 15% discount optimiseaccountantsltd.as.me/...
Get an US & International tax advice - Use code RU-vid15 to get a 15% discount: optimiseaccountantsinc.as.me/...
Get UK / US Property Investment Advice: optimiseaccountantsltd.as.me/...
US specific support
Open a UK or US bank account: wise.prf.hn/click/camref:1100...
Apply for an Individual Tax Identification Number (ITIN): www.optimiseaccountants.co.uk...
File backdated US taxes to the IRS: www.optimiseaccountants.co.uk...
Get a Cost Segregation study on US Real Estate Property: zjf538.isrefer.com/go/csf/Opt...
Set up a US LLC company: www.optimiseaccountants.co.uk...
Set up a US C Corporation: www.optimiseaccountants.co.uk...
Want reliable UK/US pension advice: planfirstwealth.com/
UK Specific
Set up a UK limited company: www.optimiseaccountants.co.uk...
Open a UK business and personal bank account and get £50: www.tide.co/partners/optimise...
Get a Stamp Duty (SDLT) refund: www.optimiseaccountants.co.uk...
Claim Capital Allowances on Furnished Holiday Lets (FHL): www.optimiseaccountants.co.uk...

Опубликовано:

27 июл 2024

Ссылка:

Скачать:

Готовим ссылку...

Добавить в:

Мой плейлист

Посмотреть позже

Комментарии : 20

@oddjob4877 3 месяца назад

Due to tax changes my BTL now lose money - I would like to sell but the high CGT acts as a barrier to me selling my BTL properties. I have owned them for 30 years and the CGT is now higher than the equity left in the properties - this means it would cost me hundreds of thousands of pounds to sell the properties. Admittedly i have regularly remortgaged and converted some of the equity to cash over the years but that was the accepted way to make money out of BTL for many decades. I used to be a Tory voter but the way they have penalised and vilified landlords like myself means that I will never vote Tory again. What an incredible own goal by the tories.

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

The issue we have is that the Tories lost their identity and became leaderless back in the 2000s The issue is that all parties are Labour wannabe too party. I fear it will be worse for landlords once Labour get in. The Conservatives are happy to take their pay packets without any pride or fight left

@lkearney7299 Месяц назад

They're not a real Conservative party.

@lkearney7299 Месяц назад

Much of property increase is not even profit, it's inflation. That makes the tax a double insult.

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

That is a very fair point. The UK did have an indexation allowance but was scrapped 😢

@1414141x 3 месяца назад

I have owned some investment residential properties for over 25 years. My long term plan was to manage them myself and then when retired and relocate, to sell them and buy other investment properties in the new area I had moved to. Then there was taper relief which made any CGT payments would be minor. That went out of the window in one fell swoop. Then CGT was brought in progressively going higher to the 28%. The chunk CGT would take out of the profits would make my buying power for new properties far less. Had they been business premises I could have avoided any CGT liability because i intended to buy new properties. I am now sitting on my properties. I would have been happy to take a hit on a reasonable rate to progress. The government would have got CGT tax plus stamp duty on the new properties I would buy. Now they have neither and they are unlikely to get any tax off me as I will probably put the properties in my will. As for it stimulating the availability of properties for first time buyers or owner occupiers I fail to see any logic in that. I would also argue that there should be a annual relief to take into account of inflation based on RPI.

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

I agree wholeheartedly. The government are weak and clueless. The UK is going to get worse and a laughing stock in Europe. Third world anyone? Look at the debt building, broken NHS, ever growing evidence of corruption and safety of UK citizens in Uk housing becoming a passive interest to those in power.

@s.c.9878 3 месяца назад

It's maddening is what I think!

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

I agree with you, 100%

@OmarAli-jx8nc 14 дней назад

The reduction in rate to 24% starts to work in your favour if your profits are higher than £75k. So for example if your profit is £200k, you will pay £5k less tax, if you are higher rate earner. Another tax that benefits the rich to the detriment of the poor.

@Simon-Misiewicz-US-UK-Taxes 14 дней назад

Hi, would you show your workings to help us to understand this point a little more?

@HandyPandy989 7 дней назад

Starmer needs to go fast before total Chaos will be the worst !

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

Sadly not going to happen for a long time now

@user-zr7ew4nr9u Месяц назад

yes hows it legal

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

Great question 👍

@iainstewart5866 11 дней назад

If I sell a buy to let property at a loss how long can I carry over the at loss to offset against a future gain? Thanks

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

Indefinitely, which is good news

@roberthuntley1090 3 месяца назад

Agree that CGT is a rip-off, since it doesn't allow for inflation so you can end up paying it on a real terms loss. Off Topic but CGT related - does anyone know if you trigger a CGT event when transferring shares into an ISA? On paper, its shown as a sell by the original investment, followed by a buy by the ISA so might do. Reason for the question is that this year's CGT allowance has been reduced to £3000, so you only need to have made 15% gain over the original price when transferring £20k worth of shares to be at risk of paying CGT. Not allowing for inflation, >15% gain for shares purchased a decade or so ago is probable. I'm unclear if the "same day" and "bed & breakfasting" rules which would normally exclude this sort of task risk apply when two different versions of you (the non-ISA & the ISA) do the buying and selling. Example - I've just transferred £20k into an ISA wrapper, which have grown by approx. £2k since I bought them in 2019 so I'm not at risk yet, but could well be in a few year's time.

@roberthuntley1090 3 месяца назад

Answering my own question, I've searched on line and you DO trigger a CGT event when transferring shares into an ISA (the only exemptions are things like employee share schemes which have different rules). The tax man sees the transfer as a sell, followed by a buy (since you can only move cash into an ISA) - and if the sale has more than £3k capital gain then CGT will be due. Unless the allowance is raised to something more realistic given cumulative CPI over the last few years I won't be able to transfer the full £20k each year in a three or four year's time.

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

I’m delighted to see that you have answered your own question. As I have just seen it myself