CGT return on House Sale: DIY or use an Accountant?

M

Manuel

Registered User
Messages
152
Hi,
I've read up on Capital Gains Tax on revenue.ie, and I'm just wondering have many of you done your own CGT return on the sale of a house.

It seems reasonably straightforward. There should be a small gain on the sale should I go ahead with it, and I'm not sure I could justify the ~400 Euro (a guess) that an Accountant might charge.

Just curious ...

Oh, and does anybody foresee any change any time soon to the 'Table of Inflation/Indexation Multipliers' that is published on Revenue's CGT1 Guide? It's been unchanged regarding disposals since "31Dec 2004 et.seq.". Seems odd, though I guess the assumption is that there would likely be no or negligible gains on disposals since then (well, property disposals at least)?

Thanks!
/M.
 
As a point of note, if the property was your PPR, then there would be no CGT payable.

The indexation / inflation multipliers relief was with drawn as and from the date mentioned. So if your property sale is taxable any relief has expired. It can be used from the date of purchase to the date the relief was ceased.

Ask an Accountant. It might save you more than it costs.
 
Manuel said:
I guess the assumption is that there would likely be no or negligible gains on disposals since then (well, property disposals at least)?
Click to expand...

The suspension of the CGT indexation relief was a crude tax-raising measure that pre-dated the property crash.
 
mercman said:
As a point of note, if the property was your PPR, then there would be no CGT payable.

The indexation / inflation multipliers relief was with drawn as and from the date mentioned. So if your property sale is taxable any relief has expired. It can be used from the date of purchase to the date the relief was ceased.

Ask an Accountant. It might save you more than it costs.
Click to expand...

I have to challenge your assertion there mercman, unless I misconstrued what you were trying to say. According to the Guide:

"For disposals made on or after 1 January 2003 indexation relief will only apply for the period of ownership of the asset
up to 31 December 2002."

Hence, if I acquired the property in 98/99 and disposed of it in 2014, I can apply indexation relief of 1.156. At least that's how I read it, could be wrong ...
 
I did my own computation recently.
I used the revenue guide and simply replicated the process using my own data.
I was doing CGT on a side garden sale so it was a bit more detailed.
I send my computation to a relative who works for a large accountancy firm specializing in tax and he said my understanding and calculation process was ok, so I see no reason why you cannot do it yourself.
Yes, indexation can be applied from purchase date up to 31/12/2002 using the provided figure from the revenue table in their guide.
 
Or course you can do it yourself. And yes I'm another AAMer who has done their own CGT computation.

Don't forget any enhancement expenditure can also be added and multiplied if it falls within the multiplier dates. Why don't you post up later the figures and some of us might add comments.

You basically need sale price, purchase price and costs of each.
 
You must log in or register to reply here.
Back
Top