Possible CGT .

Hi , Not sure how this works
first time on AAM .

Just need some advice on possible sale of small factory unit
Bought site in Feb 1995 ,for 82k .
Built unit on it --cost 200k .approx .
Spent 60k on small extension to it 5 yrs ago .
Total exp...342k .

may be be able to sell it for 510k in July 2011 .
what is the approx CPT .
when does it have to be paid .
Is the loan interest allowable against this

would appreciate any help on this
Thanks

riverruncava said:

Hi , Not sure how this works
first time on AAM .

Just need some advice on possible sale of small factory unit
Bought site in Feb 1995 ,for 82k .
Built unit on it --cost 200k .approx .
Spent 60k on small extension to it 5 yrs ago .
Total exp...342k .

may be be able to sell it for 510k in July 2011 .
what is the approx CPT .
when does it have to be paid .
Is the loan interest allowable against this

would appreciate any help on this
Thanks

Click to expand...

You'll also be allowed the stamp duty / legal / auctioneer's fees on the purchase & sale.

Loan interest isn't allowed against CGT (I imagine you'd already have claimed this against your rental income on the unit / income of the trade carried out in the unit...)

CGT would be due to be paid by 15 December on a sale between 1 January - 30 November, and the gain should be included on your form 11 for the year if you file one, otherwise you complete a form CG1 if you aren't a chargeable person.

Based on figures provided (assuming you spent the 200k in 1995/96), and depending on the other costs mentioned above, you'd be paying CGT in the region of 15k - 20k (i.e. a gain of 60k - 80k).

Thanks for the reply