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Posted Tue, 26 Mar 2024 13:37:43 GMT by Lou 16
Hi, I'm after some guidance on the following: My aunt died in March 2021. My sister and I plus a family friend were left my aunts property (her only home) in her will and I and another (a different) family friend were named executor. The inheritance tax forms/calculation were submitted and the relevant inheritance tax was paid. The property was valued at £650k at time of death March 2021 and sold for £685k in March 2022, the sale completed March 2022 whilst still held within the estate of deceased aunt. The proceeds of the sale were transferred to the solicitors handling the administration of the estate, which was completed in June 2022 and the proceeds of the sale were then split between the 3 beneficiaries and paid out to each of us. (The estate comprised only of the property and some cash savings). As the property was left in the will to 3 of us, I believed that because the capital gain on the property, split between 3, was below the £12,300 personal allowance for 2021/2022, that I did not need to report and pay any gain within 60 days, But I'm now concerned that I've made a mistake as the executor of my Aunt's estate. So, my questions are, is it correct that I could split the gain between myself and the other 2 beneficiaries. Or as the property was sold whilst still held within the the estate, is it just the estate that had a single CGT allowance of £12,300, and as one of the executors I should have reported the gain and paid this within 60 days of the sale? If the latter, how should I now report that gain? Also, what is the responsibility of the other executor ? (I was executor and 1/3 beneficiary of the estate and the other executor was just an executor and not a beneficiary as well). Thanks
Posted Thu, 28 Mar 2024 10:45:41 GMT by HMRC Admin 25
Hi Lisa Hall,
As it was the estate that sold the property then there is only 1 Capital Gains Allowance on this and the sale should have been reported within 60 days.
Report and pay your Capital Gains Tax
It is the main executor who would report the sale.
Thank you. 

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