I recently sold a holiday home that I built in 1998. The cost of building was £78000 including the land. The sale price is €105,000. Solicitors and auctioneers fees came to €4000. I am married.
so my CGT calculation would be (or am I missing something)
Buying price €99000
Selling price €105000
Liable Gain €6000
Less selling
exp of 4k €2000
And taking into account the CGT allowances for a married couple it looks like i don't owe any CGT - is this correct?
calculate the buying price in €: £78,000 /.787564 = €99,039 Then you have indexation
Property bought in the tax year 99/2000 and sold after 2004 have an indexation factor of 1.193
So indexed cost is : €118,154
Which is less than the sales proceeds, so you have no CGT liability, assuming it was a sale at arm's length.
If I remember correctly, you can't use indexation to create a loss, so you don't have a loss forward for CGT purposes.