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Posted Tue, 19 Apr 2022 20:50:39 GMT by PS Fan
Dear Sir/Madam, My sister's husband supports me to join mortgage for me to buy a house. Bank said, for BNO visa applican, joint mortgage is only available in the criteria that me and my sister's husband both are the property join owners to apply a joint mortgage together . I will live in that new house, but my sister's husband will not. I will pay back all the mortgage myself until finish. My sister's husband has a house. Question 1: When I sell this property in future, should I need to pay any taxes? And how to calculate the tax? Question 2: If my sister husband gifts his share to me after I pay back all the mortgage payment. When I sell the property afterwards, any taxes need to pay? And how to calculate? Thank you so much.
Posted Fri, 22 Apr 2022 15:38:51 GMT by HMRC Admin 11
Hi PS Fan, 
Please note that if the new house is your only or main residence throughout the period of ownership, you would be entitled to claim full Principal Private Residence relief, and therefore pay no Capital Gains tax.
HS283 Private Residence Relief (2020)
Thank you. 
Posted Fri, 22 Apr 2022 16:24:23 GMT by PS Fan
Dear Sir/Madam, Thank you so much for your comment. It is clear on the taxes for my part. But, the new house will be in my name and my sister's husband name, we will have 50% each of the ownership of that new house on deed. Payment for this new house will be 100% pay by me. When we sell property, as I live here, I can claim the relief. How about my sister's husband, is there any taxes he needs to pay because he has 50% ownership on deed? Thank you.
Posted Tue, 26 Apr 2022 14:22:29 GMT by HMRC Admin 2
Hi,

You only qualify for Private Residence relief if it is you only and your main home and you live in the property.  

HS283 Private Residence Relief (2021)

Thank you.

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