Please could some check my capital gains tax calculation for me....
Sarah-Lou
Registered Posts: 141 Dedicated contributor 🦉
AAT won't licence me for CGT as I haven't had enough experience which is a shame as I love it, if there is anyone who would be able to cast their eye over the below transaction I'd be very grateful :001_smile:
The property was a holiday let which was left to my cousins (brother and sister) in equal share of 50/50. Brother bought sister's share during the last tax year. The costs below are just the sister's share (ie improvements)
Sale value £60000
No costs of disposal
Less allowable costs
Improvements (24618)
Probate value (20000)
Chargeable gain £15382
Annual exemption (10600)
CGT gain 4782
Tax at 18% 860.76
I'm really frightened to press 'submit' in case I have this drastically wrong!!!!!
Thank you lovely people :001_smile:
Sarah-Lou
The property was a holiday let which was left to my cousins (brother and sister) in equal share of 50/50. Brother bought sister's share during the last tax year. The costs below are just the sister's share (ie improvements)
Sale value £60000
No costs of disposal
Less allowable costs
Improvements (24618)
Probate value (20000)
Chargeable gain £15382
Annual exemption (10600)
CGT gain 4782
Tax at 18% 860.76
I'm really frightened to press 'submit' in case I have this drastically wrong!!!!!
Thank you lovely people :001_smile:
Sarah-Lou
0
Comments
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Is she definitely in the lower tax band? The main things to check are that the expenses are correctly allowable.0
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Thank you for your reply
Yes, she is definately in the lower tax bank. She is a hairdresser and had very little income during the tax year as she had a baby.
The expenses (improvements) were t bring the property to a standard suitable for holiday lettings - it was quite run down when left to them.0
