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 TonyTax Your Own Question

TonyTax
TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15840
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
13905389
Type Your Tax Question Here...
TonyTax is online now

I sold 7 acres of land for £56.000 middle of 2014 it was

Resolved Question:

I sold 7 acres of land for £56.000 middle of 2014 it was left to me in 1971 how much capital gains tax will I have to pay approximately? I am nearly 65. susan benton lincolnshire
Submitted: 2 years ago.
Category: Tax
Expert:  TonyTax replied 2 years ago.
Can you tell me what the land was used your ownership of it please.
Customer: replied 2 years ago.

farming land

Expert:  TonyTax replied 2 years ago.
Thanks.

Were you farming it as part of a business or was it let to a farmer?
Customer: replied 2 years ago.

let to a farmer who bought it fair price

Expert:  TonyTax replied 2 years ago.
Thanks.

Leave this with me while I draft my answer.
Expert:  TonyTax replied 2 years ago.

again.

Assuming you never farmed the land or if you did farm it as part of a farm business, that business ceased trading more than three years before you sold it, your gain will be calculated by taking the 31 March 1982 value of the land and deducting it from the disposal proceeds along with the costs of disposal such as legal and professional fees, etc.

I doubt you will be able to get main residence relief as a part disposal if the land was part of your home due to the size of the land sold and the fact that it was let.

You will need to find a land agent who can give you an accurate valuation of the land as at 31 March 1982 as HMRC may pass any calculation you submit to them to the District Valuer who will do his own valuation which may differ significantly from yours.

Once you have the gain figure, the first £11,000 will be exempt from CGT and the net taxable gain will be charged to CGT at 18%, 28% or a combination of the two rates depending on the level of your income in 2014/15. One of the following scenarios will apply:

1 If your income in 2014/15 including the net taxable gain is £41,865 or less, then all the taxable gain will be charged to CGT at 18%.

2 If your income in 2014/15 excluding the net taxable gain is £41,865 or more, then all the taxable gain will be charged to CGT at 28%.

3 If your income in 2014/15 excluding the net taxable gain is £41,865 or less but more than £41,865 when you add the net taxable gain, then part of the net taxable gain will be charged to CGT at 18% and part at 28%.

I hope this helps but let me know if you have any further questions.

TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15840
Experience: Inc Tax, CGT, Corp Tax, IHT, VAT.
TonyTax 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.