I have been away for a few days, hence the delay in responding. Thanks for your reply, but I still need clarification on my CGT liability in case I get it wrong.
On 27 March you advised that the "worst case scenario is a tax bill of £5.6K" (rate of 28% but no deduction for AEA or improvement costs on the property)
On 2 April you refer to a "worst case scenario of a tax bill of say £13.2K" after taking the above into account. But no allowance has been made for the 73% of the time that the property was my premier residence (i.e 27% liability).
My share of the property was £73.5K. If I deduct £15.4 for improvement costs and £4.5 for the original purchase price, it leaves a 'gain' of £53.6K.
On the basis of your earlier calculation, my liability is 27% (438 out of 600 months residence) of £53.6K, which is £14.47K. I assume that it is at this stage that this can then be reduced by my AEA allowance of £11K. This leaves a taxable figure of £3470.
28% of £3470 gives £972. But because my annual income is only about £15K, the rate levied would probably be only %18. (less than £32010?). This would mean that I would only owe the taxman less than £1000?
If my calculations are incorrect, please advise where my figures are incorrect or where I have made wrong assumptions. A reasonably accurate figure is needed by my solicitor so that she can make allowance for CGT liabilities in her final account. I can deal with the taxman later in the year.
Sorry that my enquiries are dragging on a bit, but I hope that this will be the last time I will need to seek your assistance.