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capital gains tax (cgt)  •  Personal Taxation  •  Property

Reminder: 30 days to pay investment property CGT from April 2020

By RJP LLP on 24 April 2020

Although the government is allowing many tax payments to be deferred because of Coronavirus, any the tax due on gains made as a result of selling residential investment property remains payable. This now applies to both UK residents and non-UK residents.

As from 6 April 2020, capital gains tax (CGT) on all gains made on the disposal of UK property is payable 30 days after the date of disposal, rather than on 31 January following the tax year in which the disposal takes place. In addition, a return will need to be filed with HMRC during the same time period.

If you are planning to sell a property in the near future, it is important to seek professional tax advice, to understand what information is required to calculate the gain arising and to be able to complete the report that is required, within the relevant time limit. Having advance warning of the tax liability will also help to ensure that the appropriate funds are reserved from the proceeds of the sale to pay the CGT due straight away.

For more advice on property tax please email us at partners@rjp.co.uk

 

 

 

 

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60 Day Deadline for CGT Returns and Tax Payments

If you sell a property and incur capital gains tax on the transaction, you will need to file a tax return and also pay any tax that is due within 60 days of completion, or penalties will arise. Need help with your property taxes? Talk to us.

Although the government is allowing many tax payments to be deferred because of Coronavirus, any the tax due on gains made as a result of selling residential investment property remains payable. This now applies to both UK residents and non-UK residents.

As from 6 April 2020, capital gains tax (CGT) on all gains made on the disposal of UK property is payable 30 days after the date of disposal, rather than on 31 January following the tax year in which the disposal takes place. In addition, a return will need to be filed with HMRC during the same time period.

If you are planning to sell a property in the near future, it is important to seek professional tax advice, to understand what information is required to calculate the gain arising and to be able to complete the report that is required, within the relevant time limit. Having advance warning of the tax liability will also help to ensure that the appropriate funds are reserved from the proceeds of the sale to pay the CGT due straight away.

For more advice on property tax please email us at partners@rjp.co.uk