CGT query

H

homerjay

Guest
I'd be grateful if anyone could gimme their 2 cents on this. My q involves 3 properties, 1,2 and 3.

1. Bought in 1997 and PPR until 3 bought.
2. Bought in 2003 rented out.
3. Bought in 2004 to live in after I sell 1.

I remortgaged 1 in 2003 to help me buy 2.

I just bought 3 and have 1 on the market for sale at the moment.

My question is what cgt will I pay on the sale of 1 ?

Will it simply be 20% of the current market value less the indexed 1997 purchase price ?

Are there any ways of avoiding the cgt ?

Thanks
 
If the period for which 1 was rented out was less than 12 months and 1 was your PPR for the rest of the period of ownership, you will have no PPR when you sell 1.
 
property 1 was never rented out, does this make a difference ? Only 2 has been rented.
 
I'm pretty sure that you would have no CGT liability on selling 1, but I'm not a professional - so do check with your solicitor and/or accountant.
 
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