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bigduckontax, Accountant
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Am selling a pub which is also our main residence what percentage

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Am selling a pub which is also our main residence what percentage should I put down for private use?
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. You could apportion by the relative floor areas involved. Alternatively you could use the rates/Council Tax figures to derive a split. Even better, if you have access to the old rateable values from before the current systems were introduced this would give you a much better proportional split. You could obtain these last from the Valuation Office Agency (VOA), part of HMRC which deals with these matters. They have a good historic data bank and you could find the local office in the phone book. The residential part would be entitled to Private Residence Relief (PRR) which relieves Capital gains Tax (CGT) at 100%. The business element would be liable to CGT on the property gain and taxed at 18% or 28% [10% or 20% after 6 April] or a combination of the two rates depending on your income including the gain in the tax year of sale. If you are going out of the pub business you may be entitled to Entrepreneurs' Relief which limits you CGT liability to a flat rate 10%. I do hope that you find my reply of assistance.

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