CGT on selling Furnished Holiday Let

My husband and I jointly own a property, with both of our names on the deeds. But I am the full beneficial owner of the property - I run and manage it as a holiday let, and I receive the full income from this business, and pay the full income tax from it. We have not submitted a Form 17 to declare my beneficial ownership of the property, because TSEM 9820 says this isn't necessary for FHLs. However - what is the situation when it comes to the sale of the property? I will receive the gains and therefore plan to report and pay 100% of the CGT due myself (using only my individual CGT allowance). Is that correct, or would it be a 50:50 split without a Form 17? I assume that the TSEM 9820 guidance applies here also, i.e. no Form 17 is needed, but I wanted to check in advance of the sale to make sure that we have the correct paperwork in place. Thanks

Hi AMLF,
The guidance you refer to is in relation to an actual property business that lets the prioerty commericially so is therefore liable to pay NI on any profits. as yours would appear to be one property that is declared under the property section of the return, a form 17 is still required in order to show the beneficial ownership and any rental income should have been declared 50/50. in the absence of this any gain that arises when the property is sold will also be on a 50/50 basis.
Thank you
.

Thanks for the reply. We are now planning to split the gains when we sell the property, and therefore to split the CGT on a 50/50 basis. So that simplifies the CGT position. However, your reply above mentions that the monthly income from the Furnished Holiday Let should also have been split 50/50? This goes against the HMRC document TSEM9820 (https://www.gov.uk/hmrc-internal-manuals/trusts-settlements-and-estates-manual/tsem9820) which states "The 50/50 rule does not apply to income arising from a UK property business which consists of, or so far as it includes, the commercial letting of furnished holiday accommodation." The property qualifies officially as an FHL, so it is surely covered by that statement?

Hi AMLF

Furnished Holiday Lettings are treated as UK property businesses, so the 50/50 rule does not apply.  
TSEM9820 advises the FHL's can be split in the way the parties have agreed to split the profits amongst themselves.

Thank you