Did you know the Capital Gains Tax (CGT) rules changed again in October 2021?
If you sell a property – and it’s not your main home – you normally have to pay Capital Gains Tax on any gain you make. Before April 2020, you would have had up to 22 months from the sale date to calculate, report and pay CGT to the taxman.
From April 2020 the new system became much more stressful. You had to complete a CGT return and pay over the tax within 30 days. From 27 October 2021, that window was extended to 60 days, but it still gives you very little time to comply. If you don’t, you could get hit with both penalties and interest.
Because HMRC wants you to pay quickly, it gives you precious little time to deal with the complex paperwork, let alone explore legitimate ways of reducing your tax bill.
But don’t worry – THP can help. We’ve created a new, super-fast CGT on Residential Property Service that not only makes sure you avoid penalties but can also help you cut your tax bill.
Read on to find out how our three-tier Capital Gains Tax, UK Property Service works, or request a call back to learn more.
Avoiding Capital Gains Tax penalties after the clock starts ticking
From the moment you sell your property, the countdown begins. You have only 60 days to make a series of complex calculations and work out how much CGT you owe – and whether you qualify for any exemptions or reliefs. Before you even start, you have to unravel a whole jumble of essential details, including:
- Whether the property was a gift or inherited.
- Who valued it when you bought it.
- Whether the home is jointly owned, or ever was.
- Your tax position.
- The periods when you and / or tenants lived in the property.
- Any improvements you have made, plus their cost.
- Any tax-deductible expenses you have paid out.
If you are not a CGT on property expert, it’s all too easy to get your calculations wrong. If you do, you could end up paying too much tax or too little. Pay too little and HMRC will claw it back – potentially with interest and penalties.
Why risk getting it wrong? Ask our CGT experts to do the hard work for you. We’ll turn your CGT return round in double quick time and make sure your calculation is accurate. You can also ask us for tax planning advice that may bring your bill down further.
Three service levels to choose from
Whether you simply want your CGT red tape to disappear, or you’d like help from our tax experts to reduce your bills, we’ve created three service levels to meet your individual needs. See the FAQs on this page to learn more about our service standard and guarantee, plus information on timescales.
Essential CGT Service
This is our speedy CGT calculation and submission service for people who want to avoid late-filing penalties and interest.
Tax Planning CGT service
This service not only takes care of your paperwork, but also offers you tax planning advice that can help you cut your CGT bill.
Premium CGT service
Our premium service is our ‘gold standard’, offering everything from a detailed review of your circumstances to a UK residency review.
Get started today – get in touch with our expert CGT team
Our CGT on Residential Property Service Team is led by THP Director Kirsty Demeza, supported by her team of tax managers with experience in property taxation. Kirsty and her team are very happy to answer any questions you might have. Simply click the button below to get in touch now, or take a look at the FAQs on this page.