CGT Loss on Foreign Property

I bought a holiday home in 2008 and sold last year for a loss. Can I confirm I can report the loss and use it to offset the CGT on the profit from the sale of a UK property. I have always been a UK resident. For declaring the loss is it correct that I work out the GBP purchase price based on 2008 exchange rate and the GBP 2023 sales price. Can I also include costs to buy, sell and any improvements as per UK CGT calculations?

Hi,

Yes, you can. If you do not complete Self Assessment tax returns, then your loss claim must be in writing and include evidence to support your loss claim. If you complete a tax return, you will need to amend the tax return for the tax year that the loss arises, including supporting evidence for the loss.  

The conversion to pounds sterling use a just and reasonable exchange rate for the time of acquisition and disposal. Allowable costs include acquisition and disposal costs and certain improvements. You can see guidance here:

CG15180 - Expenditure: enhancement expenditure

Thank you.