CGT-Selling sole residence located oversea

Hi, I moved to UK with BNO Visa from Hong Kong on 29 June 2022. Sold my sole main residence in Hong Kong on 15 February 2023. I had lived there for 6 years when leaving Hong Kong for UK. Since the residence was sold within 9 months from 29 June 2022. I understand this sale will not be subjected to CGT of UK on the ground of Private Residence Relief (PRR) . The proceeds of the sale is residing in my bank saving accounts outside UK which has generated minimal bank interests around 200 pounds in this tax year 2022/2023. Questions: Q1. Do I need to report to and obtain confirmation from HRMC for PRR on the sale of this residence. Q2. Do I need to file any self assessment tax return on the capital gains of this sale and the 200 pounds interests to my account ?

Hi Wai Wong,
You wont have any capital gain as you are covered by full private residence relief so this doesnt need to be reported.
You do need to declare the interest and as it is foreign income, a tax return is required.
Thank you. 
 

Hi HMRC Admin, It would be most grateful if you could answer my question please. My case is very similar with above case which is (1) fully covered by private residence relief of my sold home. Because I sold my sole main residence home in Hong Kong within 9 months after we moved out from Hong Kong to the UK, which could covered by full PRR. I understand I do not have capital gain on my sold main residence home because of covered by full PRR and my sold main resident property disposal value of was more that £49200. In addition, (2) I have some minimal Hong Kong bank interests around 100 pounds in this tax year 2022/2023. Could you please answer below questions - Q1. Do I need to report to and obtain confirmation from HRMC for PRR on the sale of this residence in form SA 108? Or Q2. Do I need to report to HRMC for (1) full PRR on the sale of this residence in form SA 108 (even though I do not have capital gain because it is covered by full private residence relief) and (2) fill-in form SA100 for minimal Hong Kong bank interests together? Because HMRC Admin 19 replied in other case, which is similar with our case that do not need to pay CGT after deducting allowance and PRR. However, HMRC Admin 19's answer is different from HMRC Admin 25 replied in this case. In this case, HMRC Admin 25 said "You wont have any capital gain as you are covered by full private residence relief so this doesnt need to be reported. You do need to declare the interest and as it is foreign income, a tax return is required." In other very similar case, HMRC Admin 19 said "If you have to complete a tax return for any other reason and the disposal value of the property was more that £49200, you will need to declare the disposal in the capital gains section of your tax return. If you are not resident in the UK, you still need to declare the disposal of the property. Otherwise, there is nothing more to do on the matter. " Please find below link which replied by HMRC Admin 19 for your reference. https://community.hmrc.gov.uk/customerforums/pt/2f563752-7997-ed11-97b2-00155d3ba57b Q3: Thus, I am not sure that HMRC Admin 25 or HMRC Admin 19 advice is correct. If I follow HMRC admin 19's advice, because I have to complete a tax return for my Hong Kong bank interests, which is any other reason, and my sold main resident property disposal value of was more that £49200. I need to submit SA100 and SA108 form. Even though I understand I do not have capital gain on my sold main residence home which is covered by full PRR. If I follow HMRC admin 25's advice, I only need to submit form SA100 and do not need to submit form SA108. Because of I do not have have any capital gain as I am covered by full private residence relief so this doesnt need to be reported. I would be most grateful for your advice. Many thanks for your help.

Hi
If you were resident in the UK in the tax year, when the property was sold, then you will need to declare it on your self assessment tax return (SA100) and capital gains (SA108), claiming PRR, to ensure no tax is charged.  
It is not that you do not have any capital gains tax to pay, it is the fact that you disposed of an asset for more than £49200 when resident in the UK (£50000 from 06/04/23 onwards) and that your are completing a tax return in any case, which requires the declaration of the disposal in a tax return.
If you were not resident in the UK in the tax year in which the property was sold, then you do not need to declare it on a tax return.

Hi HRMC, Thank you for the reply. I refer to the Capital Gain Tax Summary Notes for 2022-23, Page CGN1, [You do not need to fill in the ‘Capital Gains Tax summary’ pages if you only sell or dispose of: ..... your main home, if you qualify for Private Residence Relief on the full amount of the gain] Does it mean no need to declare in the self-assessment (SA 108)? The private residence relief covers the full gain of my sold main home. Thank you.

Hi bobby88668,
That is correct, no need to declare.
Thank you. 

Hi HMRC, I sold my main residence in HK before I came to the UK, the proceeds which are in a bank in HK. I am now a UK resident. I would like to transfer some of these monies here to buy a house. Are the monies remitted taxable or it is not as it is regarded as capital? Thank you

Hi,

No, as it is regarded as capital.

Thank you.