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LondonlawyerJ, Advocate
Category: Law
Satisfied Customers: 818
Experience:  Solicitor with over 15 years experience.
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Hi I am just about to sell my property which I have owned

Customer Question

I am just about to sell my property which I have owned for nearly 18 years.
it is my only property but I have not lived in it for a few years as i have been nomadic and moving around- partly in this country and also in holland.
I have not registered myself anywhere else and my permanent address has been my mums address, also in London. for the last 3 years my flat has been rented out and now it is empty and ready to sell.
The last time I paid income tax was about 7 years ago as I only do voluntary work and don't earn anything although I realise that there is a chance I should have paid a little from the rent of the flat in the last 2 years.
I have a buyer and all things are ready to go and just now it has been brought to my attention that I may have to pay capital gains tax!
Could you please tell me about my situation and and if I am going to be faced with a huge tax bill when I sell and if there is anything I can do if this is the case.
The tax bill from the rental income will be relatively small- maybe one or two thousand per year but from the sale of the flatIi don't know.
Thank you very much for your answers and help.
Kind Regards
Submitted: 3 years ago.
Category: Law
Expert:  LondonlawyerJ replied 3 years ago.

Hello, I am a solicitor with 20 years experience. i will try to help you with this. Yes it sounds like you will have to pay CGT on the profit you make on the sale. This will be charged at either 18 or 28% depending on your situation but it sounds like to will be 18% from what you say. Gains for the period you lived in the property will be exempt as will. If you have lived in it since 1982 this will be true and various other reliefs and exemptions may apply. It is not possible to calculate your likely tax bill on the Just answer service and it is something that your conveyancing solicitor should be advising you about.