HMRC and CGT
Person Mr. A owned one property purchased in 2000 and lived there for 5 years but at the same time also lived at his parents house. Mr A left all his correspondence at parents house (bank statements, council tax, electoral register etc). After 5 years the property was let for 10 years. Then sold in 2015.
For the purpose CGT after disposal of property what will HMRC accept to prove Mr A's residency at the property for the first 5 years?
Just for further clarification.
During the 5 years of occupation Mr A let out a room generating an income below taxable amount (I think 4,200 or so) therefore Mr A did not declare to HMRC as it was not required.
Mr A allowed his tenants to register on council tax list and electoral register. But Mr A himself did not register on the council tax list or the electoral register at that property as he was on the list at his parents house.
Wouldn't HMRC pull out the details on the council tax list and electoral register and argue that as Mr A does not appear on the lists therefore it will be deemed that Mr A did not reside there but it was the tenants that resided there over the course of the 5 years, and subsequently argue that the property was a let property?
Do you provide services to calculate CGT and submit tax return through your company?