Can I offset the Negative Equity on my home agains capital gains on shares?

D

damoz

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Im sure this has been asked before, but i could not find it using search.

I am looking to move PPR. It is currently in negative equity. If i sell the house, can i use the negative equity to offset capital gain liabilty on shares. The negative equity would exceed the capital gain in this case, but it would lessen the burned on me if i was exempt from CGT on the shares.

Hope that makes sense !
 
AFAIK you cannot use a CGT loss on your PPR to offset other gains as it is not a chargeable asset!
 
The loss on a property occupied as your PPR is not allowable as a deduction against other capital gains.
 
Just as i feared. Madness. Its a loss, and a significant one at that.

If i were to rent the property out for a period, then sell it and offset the loss - is this an option. Or in short, is there anyway to use the negativity equity in a property to offset CGT.
 
I am not sure that letting the property is a realistic solution.

If you were to let the property your gain/loss would only be proportionate to the % the period of occupation as a PPR bears to the total ownership period.

Then you have to take account of everything that goes with property letting.
 
damoz said:
Just as i feared. Madness. Its a loss, and a significant one at that.

If i were to rent the property out for a period, then sell it and offset the loss - is this an option. Or in short, is there anyway to use the negativity equity in a property to offset CGT.
Click to expand...

So you would have paid CGT if you had a gain. I think not!!! #vinb
 
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