Part Share of a 2nd Property. How much CGT to pay.

Myself and my wife own 12.5% each of my mum's property and are on the title deeds. My mum is selling said property, with some of our 12.5% proceeds being needed to buy her new home (we won't be on the deeds of the new property). Do I need to pay the CGT on the full 12.5% I made from the sale (£33k) or the CGT of what profit is paid to us once the new house is purchased (£26k)?

Hi,

You will need to work out what the difference is of your 12.5% disposal value, minus your 12.5% acquisition value and 12.5% acquiring and disposing costs, such as solicitors fees, estate agent fees. If the sum is greater than your annual exempt allowance, which in this tax year is £3000, then you need to report the capital gain and pay the tax within 60 days of the completion date.

You can see a calculator below, which leads on to registering for a capital gains acccount, which you can use to report and pay the Capital Gains Tax.

Capital Gains Tax

Thank you.