HMRC Admin 19 Response

Hi,

Private Residence Relief is available to anyone who has disposed of a property that was their main residence for a period of time. You can see guidance here:

Private Residence Relief (Self Assessment helpsheet HS283)

Letting relief is available in situations where the property was let out as a furnished holiday let. Guidance on this can be found here:

Furnished holiday lettings (Self Assessment helpsheet HS253)

Thank you.

Hi,

You will have two calculations to perform. The first is your share using the acquistion cost in 1987. The second is the inherited share, based on the probate value of the property.  

Each calculation can have your share of the costs applied such as solicitor's fees, estate agent fees and so on, and the difference is the gain or loss.  

You can use the calculator to help you calculate any gains, as well as report and pay the Capital Gains Tax due here: 

Tax when you sell property

You can also see guidance on Private Residence Relief here:

Private Residence Relief (Self Assessment helpsheet HS283)

Thank you.

Hi,

There is no limit to a cash gift.  

We cannot comment on the tax implications of you receiving this gift while resident in another country. If you are resident in the UK, there are no UK Income Tax implications on the receipt of a cash gift, unless the cash gift generates interest or dividends. These would then potentially be subject to tax. Further guidance can be found here:

Tax on savings interest

Tax on dividends

As your parents are not UK resident, there are no Inheritance Tax implications on the gift.

Thank you.

Hi,

Yes, you can. You can see guidance on unused annual allowance on your pension savings here:

Check if you have unused annual allowances on your pension savings

Thank you

Hi,

You would declare your UK property income in its entirety on a Self Assessment tax return, whether you are resident or not.  

The tax treaty between both countries allows the UK to tax this income.

Thank you.

Hi,

A Self Assessment tax return is for an individual to declare their worldwide income and capital gains.  

Not everyone is required to complete a tax return. You can check if you meet the criteria that requires a tax return here:

Check if you need to send a Self Assessment tax return

Thank you.

Hi,

If your mother gifts a share of the house to you, then she is subject to capital gains rules. If the property was her main residence for the entire period of ownership, then Private Residence Relief will cover any gain.  

When you receive your share of the property and you are resident in it, then Private Residence Relief will apply to you for the period of ownership and the period that it was your main residence. You can see guidance on Private Residence Relief here:

HS283 Private Residence Relief (2024)

Thank you.

Hi,

You can use the real time capital gains service to report and pay the capital gains tax here:

Report and pay your Capital Gains Tax

You have until 31 December after the relevant tax year has ended to report using this service. If you do not do so, you will be required to comple a Self Assesment tax return.

Thank you.

Hi,

In section 4, fill in your return, declare the foreign capital gains in the capital gains section. There are different sections such as residential property, listed share, unlisted shares and other property assets and gains. Choose the appropriate option and save and continue.  

Click on the foreign section. On page 2 of 2, you would tick the box "Capital gains - foreign tax credit relief and Special Withholding Tax" and save and continue. This will bring up the section where you declare your foreign capital gains and the tax paid.  

In the foreign section, tick the appropriate box relating to your capital gains, such as listed shares. As you fill in the remainder of your tax return, you will reach the section 6, view your calculation. It is in this section that you will include the foreign tax credit.

Thank you.

Hi,

If you have used our online tool and the answers indicate that you do not need to complete a tax return then this is correct.

Check if you need to send a Self Assessment tax return

Please then contact our Self Assessment team again and we will take steps to update your records accordingly.

Self Assessment: general enquiries

Thank you.