CGT -Market Values

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NykkiR

Registered User
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I purchased my property for much less than the market value in April 2013. I have Now sold it, for alittle less than the market value.
Can I use these values to pay CGT or must I use the actual values I paid and sold for?
 
Gordon Gekko said:
You’ll have to provide more detail. Were the seller and the buyer connected to you in some way?
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no they were not. Just I offered what I could afford and luckily the person selling accepted. Selling after 7 years, and with covid lockdowns , I accepted a lower price, so I could sell quicker than leaving The property empty for a long period, not knowing how long the situation was going to drag out...
 
Then you should use the actual prices that you bought and sold for.

They’re the market values.

I think you’re confusing asking price and market value. I can ask any price for my house but it’s only worth what a third party is willing to pay on an arms length basis. The rules are different when the parties are “connected”.
 
Oh okay. So even if advertised for 100,000 and a buyer offers 80,000. The actual price paid, is the one to use and so therefor the price accepted when reselling. I am alittle bummed as been Registered non resident, all the years, (35 yrs+) out of the Uk, and only this current Tax year, when I decided to sell, I am resident for all of it, due to Covid and in full time employment. Worked basically to pay the CGT it seems .
 
NykkiR said:
Oh okay. So even if advertised for 100,000 and a buyer offers 80,000. The actual price paid, is the one to use and so therefor the price accepted when reselling. I am alittle bummed as been Registered non resident, all the years, (35 yrs+) out of the Uk, and only this current Tax year, when I decided to sell, I am resident for all of it, due to Covid and in full time employment. Worked basically to pay the CGT it seems .
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Okay there's a few different things popping up here.

You mentioned you bought the property in 2013 and you also made a reference to "out of the UK".

Irish property is subject to Irish CGT regardless of the residence of the vendor, but you may be able to benefit from a substantial exemption based on having bought in 2013.

Your "out of UK" comment makes me think perhaps you're talking about a UK property though, just FYI this is an Irish site, so it's assumed posters are talking about Irish issues unless stated otherwise...
 
Ahhh. I didn’t relise only Irish . Yes property in UK and I having been living in SA and Italy , since 1989, till last Feb, 2020. I will try find a uk tax help site. Thank you very much for your help.
 
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