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bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 7290
Experience:  FCCA FCMA CGMA ACIS
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Will you be able to give me some advice on IHT and CGT tax

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Hi there,
JA: Hello. How can I help?
Customer: will you be able to give me some advice on IHT and CGT tax implications on a private UK limited company who's sole business is hold residential properties and for long term letting?
JA: For which tax year do you need advice?
Customer: for this and next
JA: Anything else you want the Accountant to know before I connect you?
Customer: thats it for now

Hello, I am one of the experts on Just Answer and pleased to be able to help you with your question. The situation for a shareholder is as follows:

 

On sale any gain made will be exposed to CGT at 18% or 28% or a combination of the two rates depending on your income including the gain in the tax year of disposal. You have a non-cumulative Annual Exempt Amount (AEA), currently 12K to offset any gain.

 

There is no CGT on death, all assets being aggregated and any over 325K exposed to Inheritance Tax (IHT) at a flat rate of 40%.

bigduckontax and other Tax Specialists are ready to help you
Customer: replied 27 days ago.
Thank you. Does the CGT application same for UK and Non UK resident who are holding the shares of the company? Imaging the company will pay corporation tax. And will a property letting company eligible for Business Property relief?

Thank you for your support.