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bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 5329
Experience:  FCCA FCMA CGMA ACIS
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We are a CIU Working Men's Club registered under the

Customer Question

Hi,We are a CIU Working Men's Club registered under the industrial and provident societies act.We are considering selling a small peace of our land (part of our car park) to a developer, for around £700000.00Would we have to pay capital gains tax on this? would we be entitled to any relief as all funds will go straight back into the club to make repairs?Look forward to hearing from you.Kind regardsJenny
Secretary
WWMC
Submitted: 2 months ago.
Category: Tax
Expert:  bigduckontax replied 2 months ago.

Hello, I am one of the experts on Just Answer and pleased to be able to help you with your question.

Provident societies are not subject to the Capital Gains Tax (CGT) regime, all such transactions passing through the society's trading account as a profit or a loss and exposed to Corporation Tax (CT), currently 19%. Conversely any repairs would be allowable against CT.

I do hope that you have found my reply of assistance.