CGT on land

[apple]

Hi

My friend owns 4 acres of land he is applying for planning permission on a 1 acre of land. He wants to know whats the best way to reduce his CGT bill. the land is worth 10000 euro at the moment if he gets planning permission it will be worth 80000.

If he gets planning permission am i right in saying that if he sells the land at 80000 he will have to pay CGT on the 80000 less his annual exemption?

will he be any better of if he gifts the son the land and the son sells the site ? any help would be greatful. thanks

 

[asdfg]

When did he purchase the land?
He is allowed to deduct the purchase price of the land (1 acre) plus expenses plus indexation.
If the land was given to him as part of an inheritance, it will be the value set out on the inheritance.

 

[ClubMan]

Have you tried Ishmael Whale's CGT calculator?

Ishmael's Capital Gains Tax calculator

Obviously professional advice is in order when assessing one's CGT liabilities and filing a return.