Selling a jointly owned apartment - CGT and other costs

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Pablo74

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Hi all,
My friend is thinking of selling her apartment that she jointly owns with her friend. They bought it together back in 2007 and both lived there till 2012. They both got married that year and moved elsewhere in the country. They have been renting it since then through a management company, they are registered with the RTB. Her questions are if they sold the apartment in 2024, what are the charges that they would incur? Like myself, they are not sure of the taxes and if they have to pay CGT or any other taxes.
They understand that after the sale of it property, they would have agent fees, and solicitors fees but can someone explain the tax implications?

Property bought in 2007 for €314,000
Values in 2023 at € 315,000
Mortgage owed €190,000

Any assistance would be appreciated.
Pablo74
 
Pablo74 said:
Property bought in 2007 for €314,000
Values in 2023 at € 315,000
Click to expand...

Capital Gains Tax is paid on the difference between the selling price and the buying price.

If they make no gain, they pay no CGT.

They can increase the purchase price by the expenses of purchasing it and they can reduce the selling price by the expenses of selling it.

Brendan
 
Ok thank you Brendan for your very quick reply. So if the apartment gets sold, the bank takes its mortgage owed of €190,000 leaving €125,000. The selling agent takes a % of the selling price, the solicitor takes a nominal fee and what is left can be devided between my friend and the other part owner. Correct
Thanks again.
 
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