it is a farm, which has a mortgage of £420,000 it has been repossesed by the mortgage company as we are in interest arrears. We have a redemption of £191,000 to pay, it is our only residence, but consists of two houses, acres of land and sheds
will the redemption and capital gains tax still apply as we are not selling by choice
Your property is over the premitted area so not all will be entitled to Private Residence Relief. Furthermore the Gov UK web site advises that:
'You are not entitled to relief for land let or used for a business, for example, surrounding farm land.'
Regretably, in your case an element of CGT will apply even though the sale is forced.
I am so sorry to have to rain on your parade.
Thank you for your support.
You may well need the assistance of a trusted, local professional in this matter for negotiations with HMRC.