Capital Gains Tax - Sale of Assets
Sale of Assets
How you report and pay your Capital Gains Tax depends whether you sold:
Before you can report any gains you’ll need:
details of how much you bought and sold the asset for
the dates when you took ownership and disposed of the asset
any other relevant details, such as the costs of buying, selling or making improvements to the asset and any tax reliefs you’re entitled to
calculations for each capital gain or loss you report
If a property was jointly owned, each owner must tell HMRC about their own gain or loss. You also have to pay any Capital Gains Tax due within the same 60-day period from completion.
If you’re not a UK resident
You must report all sales of UK property or land, even if you have no tax to pay. You do not need to report or pay tax on anything else that’s increased in value.
If you sold a property in the UK on or after 6 April 2020
You must report and pay any Capital Gains Tax due on UK residential property within:
60 days of selling the property if the completion date was on or after 27 October 2021
30 days of selling the property if the completion date was between 6 April 2020 and 26 October 2021
You may have to pay interest and a penalty if you do not report and pay on time.
If you sold a residential property before 6 April 2020, you must report your gains in a Self Assessment tax return for the tax year following the sale.
We can handle this side of it for you.
However, there is an element of work you will have to do yourself but we can guide you.
If the property is in joint names both you and your wife will have to set up personal tax accounts with HMRC if you have not already done this.
Once this is done you can nominate us to do the calculations and filing on your behalf. HMRC will give you a code to pass to us and it should be set up from your end.
