Jules W
-
Calculating CGT liability from income
When calculating CGT on a second home, you have to state your income to work out what proportion is taxed at 18% or 24%. I don't understand how, if you sell your rental property half way through a year, are you able to state what you are earning until that tax year is complete? So for instance I am employed and have a second home i am selling in say May 2025. I won't know exactly what my income is until April 2026 the following year (i could change job or loose my job). So how do you calculate your CGT liability? Secondly, do I report this gain via my tax self assessment? Many thanks