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Rakhi Vasavada
Rakhi Vasavada, Financial Advisor
Category: Finance
Satisfied Customers: 4543
Experience:  Attorney and Financial Expert. Have specialization in Financial Laws.Practice experience of over 13 years
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HiIn 2008 I leveraged some money (£150,000) on a buy to let

Resolved Question:

Hi
In 2008 I leveraged some money (£150,000) on a buy to let flat I had in order to invest in a uk company called Harlequin who were supposed to build a 5 star resort in the Caribbean by 2013
It was an off plan investement which has not been built the company were in trouble
The FSCS has just declared Harlequin company to be valued today at 0
My question is if I sell my buy to let flat will I be able to off set the £150,000 I borrowed to invest against the capital gain on that flat
Submitted: 2 years ago.
Category: Finance
Expert:  Rakhi Vasavada replied 2 years ago.
Dear Friend,

Hello and welcome. Thank you for providing an opportunity to assist you.

YES, the value of Harlequin being 0 is a total capital loss and you would able to offset this against the capital gain on the flat.

I am sure this would help.

You may please leave a positive rating if this helps as this is the only way we are compensated for assisting you. Alternatively, you may revert back with a reply if you need further assistance or if I have missed out on any aspect of your question,

Warm Regards
Customer: replied 2 years ago.
Thankyou
But some people are saying that it was an overseas investment in the Caribbean will this still count against uk capital gains
If the apartments had been built by Harlequin and the investment had even successful I would have been paying uk tax on them
I just want to make sure if this before I make the decision to sell my buy to let flat as I will have a large capital gain on it
Expert:  Rakhi Vasavada replied 2 years ago.
Dear *****ette,

Yes, I am sure about this. From what I understand from your situation, you would be paying UK tax on it had that investment been successful.

If you wish, you may take second opinion from a local tax professional. But from what I understand from your situation, I am sure you would be able to offset your current capital gain against this capital loss.

I am sure this would help.

You may please leave a positive rating if this helps as this is the only way we are compensated for assisting you. Alternatively, you may revert back with a reply if you need further assistance or if I have missed out on any aspect of your question,

Warm Regards,
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