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TonyTax
TonyTax, Tax Consultant
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Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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I am separated from my wife yrs , living on my own in

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I am separated from my wife for 10 yrs , living on my own in a house owned by us both for investment purposes 20 yrs ago . I want to sell this and buy a flat which would also be in joint names . Selling and purchase price are virtually the same . As she does not live here would she be liable for CGT ?
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question. A husband and wife can only have one sole or main domestic residence between them. Thus you will claim Private Residence Relief (PRR) which will be allowable against any gain at 100% and be given automatically. That will almost certainly what will happen. I do hope that I have been able to put your mind at rest.
Expert:  TonyTax replied 1 year ago.
Hi. You might refer to HS283 here for information on the main home and CGT: https://www.gov.uk/government/publications/private-residence-relief-hs283-self-assessment-helpsheet/hs283-private-residence-relief Assuming that you are separated in circusmtances which are likely to be permanent and that your wife has not lived in the property at all, then she will be taxable on her share of the gain less the annual CGT exemption which is currently £11,100. CGT is charged at 18% or 28% or a combination of the two rates depending on the level of the income of the individual making the gain. Look here for guidance on working out the rate of CGT applicable: https://www.gov.uk/capital-gains-tax/work-out-your-capital-gains-tax-rate I hope this helps but let me know if you have any further questions.
TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15946
Experience: Inc Tax, CGT, Corp Tax, IHT, VAT.
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