Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Mon, 07 Oct 2024 17:10:06 GMT by Carmen Lee
Dear Sirs, I purchased my first main home in 1991 in Hong Kong and I lived there for 29 years plus some months. That property was the only property that I owned. I moved to the UK in June 2021 and sold my Hong Kong property in February 2022. I subsequently purchased my main home in the UK in October 2022. I used this like to work out if I entitled to tax relief for selling my home in Hong Kong at https://www.gov.uk/tax-relief-selling-home, came up with a result that 'I am entitled to full Private Residence Relief and I don't need to contact HMRC ot fill in the Capital Gains Tax part of my tax return. I would like to confirm if I am entitled to full relief under my situation. Thank you in advance for your help.
Posted Thu, 17 Oct 2024 11:44:14 GMT by HMRC Admin 20 Response
Hi,
As you disposed of the overseas property when you were resident in the UK, you need to declare the disposal in a self assessment tax return, even if there is no gain.  
To work out if the is capital gain, all of the values require to be coverted to pounds sterling, using a just and reasonable exchange rate in use at that time.  
In SA108 box 6, you declare the gain from your disposal and in SA108 box 39 you declare the private residence relief you are entitled to.  
As the property was your main residence for your entire period of ownership, you can claim private residence relief which would cancel out any gain.
Thank you.

You must be signed in to post in this forum.