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Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 13866
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
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I sold a property in 2014, but am only getting tax on it

Resolved Question:

Hi Sam, I sold a property in 2014, but am only getting tax on it sorted now, the gains tax will be about 70k in the same year I bought another property that me and my ex planned to move into, this never happened as we broke up, we were having it renovated but builder run off with 40k, I then was left having to carry on it has cost me my job ax had to get people in and redo all plus more, my loss for it this year will be about 90k, can I claim any of this as a loss in this tax year? Hope you understand it's a bit messy, have all reciepts and paperwork. Thank you
Submitted: 1 year ago.
Category: Tax
Expert:  Sam replied 1 year ago.

Hi

Thanks for your question and for asking for me

So can you clarify that the losses were for this other property you purchased and never moved into (although this had been the plan)

And has this other property been sold yet?

Did you pursue the builder through court for the money he ran off with and what was the outcome?

Thanks

Sam

Customer: replied 1 year ago.
Went to trading ong standards, but didn't go to court as it would have been more money, and the guy had also done this to others, and had found out he had no assets, so would never have got money back. The house is on market at the moment
Expert:  Sam replied 1 year ago.

Hi

Thanks for your response

Then this can only be considered once the property (on which this debt arose) is sold and cannot be used on the gain from 2014.

Let me know if I can assist further

Thanks

Sam

Customer: replied 1 year ago.
when sell this property, and I show a loss, can I claim anything back in a rebate, or have anything offset against my wages which would only be about 15k a year?
Expert:  Sam replied 1 year ago.

Hi

Thanks for your response

No - you will offset the loss against any gain you make on the sale as I would assume this was capital costs.

Then this loss can be carried forward to offset against any future gains

Thanks

Sam

Customer: replied 1 year ago.
you mean if I was to buy another property, after this I cannot see me wanting to do that, so really I will have to except the loss, sorry for sounding so confused
Expert:  Sam replied 1 year ago.

Hi

Then if you have no future capital gains then this loss will remain unused I am sorry to say.

Thanks

Sam

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