How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask JGM Your Own Question

JGM
JGM, Solicitor
Category: Family Law
Satisfied Customers: 10289
Experience:  30 years as a practising solicitor. Partner in own firm.
31090051
Type Your Family Law Question Here...
JGM is online now

This is about capital gains:

Resolved Question:

This is about capital gains: I owned my home , then got married I then also bought my husbands family home as it was being repossessed. I then had to rent out my original home and live in my husbands family home. We then divorced he now lives in the family home alone although the mortgage is still in my name as he cannot get a mirtgage - he pays the money into my account but it is his home - nothing to do with me. I am now selling my original home that I had let out as I cannot afford to live there I am hoping I will not be affected by capital gains ? Thank you for your help
I bought the my original home for 189000 and will be selling it for 210000 I lived in it for 1 year and let it for 6 it is now empty.
Submitted: 2 years ago.
Category: Family Law
Expert:  JGM replied 2 years ago.
Thank you for your question.

If you went back to live in your own home or live between two homes at the moment you would not be affected and would get full private residents relief as you may be able to nominate this house as being your main residence.

However, from what you say, you only lived there for a year and let it out for the rest of the time so private resident relief would not apply and you would normally be liable for capital gains tax on the gain in value. However you would qualify for letting relief which may in your case wipe out any CGT.

The maximum amount of Letting Relief due is the lower of:

£40,000
the amount of Private Residence Relief due
the amount of gain you've made on the let part of the property

As your gain is less than £40000 you should get relief on the whole gain.

Here is the HMRC link for you:

http://www.hmrc.gov.uk/cgt/property/sell-own-home.htm

I hope this helps. Please leave a positive response so that I am credited for my time.
Customer: replied 2 years ago.
Hi thanks for reply, should I discuss this with the solicitor I am instructing for the sale- - will he be able to deal with this or do I contact hmcr or wait for them to contact me? Thanks
Expert:  JGM replied 2 years ago.
You can ask the solicitor's advice certainly but he or she will just sell the house and send you a cheque for the profit. The sale will have to be recorded in your tax return for this financial year so it will really be your accountant that should help you complete your tax return if you don't want to do it yourself.
Customer: replied 2 years ago.
Ok thanks - I don't usually do tax returns or have an accountant ?!
Expert:  JGM replied 2 years ago.
Yes, but because of this transaction strictly speaking you'll have to register for self assessment and complete one now.
Customer: replied 2 years ago.
Ok that's great thanks for your help
Expert:  JGM replied 2 years ago.
You're welcome. Don't forget to leave positive feedback on the system so that I am credited for my time.
JGM, Solicitor
Category: Family Law
Satisfied Customers: 10289
Experience: 30 years as a practising solicitor. Partner in own firm.
JGM and 2 other Family Law Specialists are ready to help you

What Customers are Saying:

 
 
 
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
< Previous | Next >
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
  • A quick response, a succinct and helpful answer in simple English. I believe I can now confront the counter party with confidence -- worth the 30 bucks! Rick
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther
 
 
 

Meet The Experts:

 
 
 
  • Kasare

    Kasare

    Solicitor

    Satisfied Customers:

    204
    Solicitor, 10 yrs plus experience in civil litigation, employment and family law
< Previous | Next >
  • http://ww2.justanswer.com/uploads/KA/Kasare/kasare.64x64.jpg Kasare's Avatar

    Kasare

    Solicitor

    Satisfied Customers:

    204
    Solicitor, 10 yrs plus experience in civil litigation, employment and family law
  • http://ww2.justanswer.com/uploads/TG/TGraham12/2012-7-17_81212_bigstockBusinessHandshake508163.64x64.jpg Thomas's Avatar

    Thomas

    Solicitor

    Satisfied Customers:

    160
    UK solicitor
  • http://ww2.justanswer.com/uploads/JO/jojobi/2013-3-19_0265_maxlowryphoto.64x64.jpg Max Lowry's Avatar

    Max Lowry

    Solicitor

    Satisfied Customers:

    7
    LLB, 10 years post qualification experience
  • http://ww2.justanswer.com/uploads/OS/osh/2015-7-7_19268_gettyimagesb.64x64.jpg Joshua's Avatar

    Joshua

    Lawyer

    Satisfied Customers:

    340
    LL.B (Hons), Higher Prof. Dip. Law & Practice
  • http://ww2.justanswer.com/uploads/GL/Glossolicitor/2013-5-14_214834_TWMParkinsonWright.64x64.jpg Glos solicitor's Avatar

    Glos solicitor

    Family Solicitor

    Satisfied Customers:

    2
    10 years experience in all areas of family law, now specialising in cases involving social services and children
  • http://ww2.justanswer.com/uploads/CL/clairep80/2013-8-25_191218_dreamstimexs267279822nd.64x64.jpg Clare's Avatar

    Clare

    Family Solicitor

    Satisfied Customers:

    4598
    I have been a solicitor in High Street Practise since 1985 and have specialised in Family Law for the last 10 years
  • http://ww2.justanswer.com/uploads/HH/hhlaw/2015-12-8_22495_unnamedlanczosbicubic.64x64.jpg Harris's Avatar

    Harris

    Family Law Expert

    Satisfied Customers:

    1064
    Family Law - Specialist in Divorce, Financial Relief and Children Matters