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 Sam Your Own Question

Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13712
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
16196420
Type Your Tax Question Here...
Sam is online now

I sent a question about the sale of a barn/steading in Aberdeenshire

Resolved Question:

I sent a question about the sale of a barn/steading in Aberdeenshire a few minutes age .... to Sam and accompanied with my Mastercard details. By mistake and stupidly I pressed the delete button before completing my request !!I'm wondering if Sam is still there !!!
William *****@******.***
Submitted: 1 year ago.
Category: Tax
Expert:  Sam replied 1 year ago.
William
I am still here but your question does not seem to have appeared yet, could you advise what the question was
Thanks
Sam
Customer: replied 1 year ago.

Sorry about my inefficiency ! My question is : My wife died in 2004, leaving me her quarter share in farmland with an old steading/barn. Her share was valued at£28000., the other shares being held by her brother and sister. Later we decided to sell the steading as a private house but before selling it we were involved in expenses -water supply, access road,, legal fees, planning permission etc - amounting to £100000 ,my quarter share of costs being £25000.

The property has now been sold... and my quarter share of the purchase price after expenses is £48000.

I have spoken informally to my accountant but would value your independent opinion regarding Capital Gains Tax payable by me. Thank you help.

Expert:  Sam replied 1 year ago.

Thanks response and the additional information.
Yes you will have a capital gains as there has been a disposal of this asset, which has never been your main residence.
Can you clarify that
1) The 1/4 share value at the time you inherited was £28000
2) The quarter value share of the expenses were £25000
3) the sale value after selling costs (so not including the expenses at 2) or the value price at 1) were £48,000
So we have sale price less costs £48,000
Less inherited value and costs to better sale position £53,000
So loss of £5000?
If this is the case and you have made a loss of £5000 you still need to inform HMRC of this loss, which you can use against any future gains you may make.
if you had £48,000 left over after all the costs and value at the time of Inheritance, then there will be a charge of capital gains, with the first £11,000 exempt as this is your annual exemption allowance and the remaining £37,000 liable to 18% or 28% or a mix of both - this will be determine by your usual annual income - and what basic rate band there remains unused.
So if your annual income is in excess of £41865 - then the gain will be charged at 28% , if you annual income was £30,000 then the first £11,865 at 18% and ay remaining gain at 28%.
let me know if you require any clarification on the above, but it would be appreciated, if in the meantime you could rate the level of service I have provided (or click accept)
Thanks
Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13712
Experience: 26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
Sam and other Tax Specialists are ready to help you

What Customers are Saying:

 
 
 
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
< Previous | Next >
  • 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
  • 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
 
 
 

Meet The Experts:

 
 
 
  • Sam

    Sam

    Accountant

    Satisfied Customers:

    7088
    26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
< Previous | Next >
  • http://ww2.justanswer.com/uploads/TA/Tax Expert/2013-8-21_231010_sam.64x64.jpg Sam's Avatar

    Sam

    Accountant

    Satisfied Customers:

    7088
    26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
  • http://ww2.justanswer.com/uploads/BI/bigduckontax/2013-8-12_222058_1.64x64.jpg bigduckontax's Avatar

    bigduckontax

    Accountant

    Satisfied Customers:

    2333
    FCCA FCMA CGMA ACIS
  • http://ww2.justanswer.com/uploads/TA/TaxRobin/2013-8-28_16186_femalebusinessprofessionalbinderhand11038485.64x64.jpg TaxRobin's Avatar

    TaxRobin

    Tax Consultant

    Satisfied Customers:

    524
    International tax
  • /img/opt/shirt.png taxadvisor.uk's Avatar

    taxadvisor.uk

    Chartered Certified Accountant

    Satisfied Customers:

    2845
    FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
  • http://ww2.justanswer.com/uploads/MS/MsAM/2012-6-9_16426_anna.64x64.jpeg Anna's Avatar

    Anna

    Teacher, writer, biologist

    Satisfied Customers:

    270
    Great research skills, variety of work experiences, teaching experience.
  • http://ww2.justanswer.com/uploads/PD/pdheslin/2012-6-6_232056_pambig.64x64.jpg pdheslin's Avatar

    pdheslin

    Consultant

    Satisfied Customers:

    51
    20+ years of internet site creation and search engine optimization. Dozens of search tools at my disposal.
 
 
 

Related Tax Questions