Karen Kendall

In a similar situation - gifting 49% to my adult son who lives in a second property I own and retaining 51% myself. How do you work out and declare a disposal of part of this asset when the CGT form assumes 100% CGT liability (maybe I’m missing something?)? Should I just write the price I bought the house and the current market value as 49% of what I actually did / it’s current market value or should I request a paper form and write an explanatory covering letter? Thank you.

Thank you. I am a bit confused so would appreciate clarification in view of penalties if I get this wrong.. As I owned 50% of the house (with my husband) and still own a share of the property (51%), I assumed I’d have to pay CGT just on the 49% I gave to my son, or on a 50% share. But my understanding from what you’re saying is that I have to pay CGT on 100% of the increase in value of the property since my husband and I bought it in 2011, (minus the £3K allowance and various costs). Does that mean that if /when I give up my 51% share that I will need to pay 51% on the increase in value between now and that future date, but that my son will pay nothing as the house would be his primary residence? I was under the impression that transfers between spouses incurred no CGT, so I’m a bit confused about the statement you made that my husband’s share to me is not liable for CGT until I sell the asset - if I need to pay 100% CGT within the next 60 days (the paperwork for transfers has already gone to Land Registry) then are you saying that he will need to pay CGT later on even though he no longer owns any part of the house? Sorry to have to ask more questions, but, as I wrote earlier, there are penalties if I get this wrong. Many thanks

My husband and I bought a property to rent out in Nov 2011. We were registered as joint owners (50% share each) at land registry. Recently we decided to transfer ownership to 51% me and 49% our son, who has now moved into the house as his primary residence. This was done by a solicitor by transferring my husband’s share to me so I owned 100% of the house for a day, and then transferring 49% of my 100% share to our son. How do I work out what CGT I owe? Thank you