Do I pay CGT on Holiday Home

[Mrs MaGoo]

Our home is in my husbands name. If we bought a holiday home as an investment, and put it in my name would I pay CGT when selling it on.. What rate of tax would I pay on the rent received?

 

[dockingtrade]

According to revenue rules: 25% on any gain when you sell as its not your principal private residence.

On rental income: 20% on any net income and 41% if it pushes you into a higer band. It would depend on other income how ye are assessed , credits etc.

 

[Steve D]

You are being very optimistic if you expect a gain on a holiday home, especially in basket case property markets like Ireland, Spain or Bulgaria! Where do you plan on buying one?

 

[Mrs MaGoo]

According to revenue rules: 25% on any gain when you sell as its not your principal private residence.

On rental income: 20% on any net income and 41% if it pushes you into a higer band. It would depend on other income how ye are assessed , credits etc.

I am PAYE, and would be on the higer rate. Thanks.

 

[Mrs MaGoo]

You are being very optimistic if you expect a gain on a holiday home, especially in basket case property markets like Ireland, Spain or Bulgaria! Where do you plan on buying one?

Planning on buying in Ireland, its a long term investment so am willing to hold onto it for 10 to 15 years and get some use out of it.