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TonyTax
TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15950
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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I plan to sell my buy to let property and buy another straight

Customer Question

I plan to sell my buy to let property and buy another straight away. Do I have to pay capital gains I sell.
Submitted: 1 year ago.
Category: Tax
Customer: replied 1 year ago.
I have just one property
Expert:  TonyTax replied 1 year ago.
Hi. Unless the buy to let property you plan to sell is a furnished holiday let and you the property you plan to buy is a furnished holiday let or a "business asset", the you cannot rollover the gain into the next property I'm afraid and will have to pay CGT if you have made a gain in a tax year where all your net gains less losses brought forward are more than the annual CGT exemption which is currently £11,100. I hope this clarifies things for you but let me know if you have any further questions.
Customer: replied 1 year ago.
I used to live in the property but moved out, is it correct that I would need to pay CGT calculated according to every year it was not my prime residence?
Expert:  TonyTax replied 1 year ago.
You will get exemption from CGT for any period that the property was your main home and for the last 18 months of ownership regardless. In addition, you will get letting relief. These will all combine to reduce your taxable gain. Take a look at HS283 for more information and, in particular at Example 9.
Expert:  TonyTax replied 1 year ago.
Hi, I'm just checking in to find out if you need further advice or clarification.