CGT on sale of second property

Hi we have just sold our second property, this was our former home which we lived in before we bought our current home. When we purchased our current home in 2017 we had to pay an additional amount of stamp duty due to it being a second home. My question is can we claim this additional stamp duty as a cost when calculating CGT on the sale of the second property, it is after all an expense incurred as a result of owning this home.

Hi ,
 

Yes, Stamp Duty can be claimed as a CGT deduction - please refer to CG15250 for details of all allowable 'incidental costs of acquisition and disposal'.              See : Capital Gains Manual  . Thank you .

My ex husband and I are selling our joined property, he has never lived in the property, he owns a second home, how much capital gains tax does he have to pay please

Hi sharonlugsden

He will pay tax on his share of the profit at either 18% or 24%.

Thank you

My wife and myself who own a second property that was purchased in 2011 are in the process of gifting/selling our second home to our younger son who lives in the property, our older son lived in the property when it was first purchased and paid £20,000.00 into the purchase of the house and the solicitor at the time prepared a Minute of Agreement between us and my older son whereby it was agreed that in the event of us selling/gifting the property in the future the £20,000.00 plus interest will be paid from the sale to my son. Is this not an allowable expense for deduction? We will be paying the £20,000.00 plus interest so we will be this amount less.

Hi,
No, this is not an allowable expense as it is already included within the purchase price. 
Thank you

We will be back to having paid the full amount to purchase the property as we are having to give my son the £20,000. back that he paid so we are paying the full amount the house cost to purchase?