Informing HMRC regards second home sale

Posted Wed, 06 Dec 2023 19:20:18 GMT by Scrogs

Situation I'm in is that I'm selling a second property 5K less than I bought it for (due to the slump in house prices over the last 2 years or so). I have done my basic arithmetic and reckon that I won't reach the capital gains tax threshold. Do I still need to inform HMRC of the sale? TIA

Posted Thu, 07 Dec 2023 17:00:48 GMT by HMRC Admin 25 Response

Hi Scrogs,
If it is a UK residential property and no tax is due then you do not need to report it.
Thank you.

Posted Wed, 20 Dec 2023 13:30:50 GMT by nmp

Question to HMRC Admin - so, you do not need to report it straight away because the sale will result in a loss. However, you should report it when completing the annual SA, because you can carry forward the loss to future years in order to offset the loss against any gains in the future. Is this correct?

Posted Tue, 02 Jan 2024 11:56:03 GMT by HMRC Admin 2 Response

Hi,

Yes, that is correct.

Thank you.

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