Doug

My wife and I both routinely do SA returns. We have just completed the sale of a rental property, so as I understand the rules, we have 60 days from completion to report and pay the CGT on a UK Property Disposal Return. However, there seems to be an option to report it under SA if our SA returns are submitted within 60d (=3 May), which is feasible, and then we don't have to pay the CGT until next Jan25. Section 2.6.2 of the CGT manual refers (quoted at end of post after ******). However, the rather confusing wording seems to imply that this is only allowable if the net CGT payable under SA is no less than the CGT payable under the UK Property Disposal Return. This seems the wrong way round. In our case, we both have realised losses on share sales which are to be offset against the CGT on the property sale. Does this mean we cannot report via SA, as the net CGT payable by the SA calculation will be less than that payable under the property reporting scheme? This doesn't seem right, as we will be paying too much CGT now and not able to claim it back until January? So, could I please have guidance from hmrc, and an answer to these two questions: (1) Are we allowed to report the property sale by submitting our 23/24 SA returns within 60d (3 May), and not have to submit a "UK Property Disposal Return"? (2) If this option is not allowed, and we have to submit a "UK Property Disposal Return" and pay the full CGT on the property sale within 60d, is there any mechanism to reclaim the CCT refund due on the share sale losses before next January? ****** 2.6.2 Instances where a return submitted through the CGT on UK Property Account is not required because a Self Assessment return is filed instead. It is possible that a Self Assessment return could be submitted for a tax year and the date on which the return is submitted is before the due date for filing a UK property disposal return. The rules in Para 5 then apply. Para 5 Schedule 2 Finance Act 2019 states: (1) A person is not required to make or deliver a return under this Schedule in respect of a disposal if the filing date for the return would otherwise fall on or after— (a) the date on which the person has delivered to an officer of Revenue and Customs the person’s ordinary tax return containing a self-assessment that takes account of the disposal, or (b) the date on or before which the person has (by notice) been required to deliver to an officer of Revenue and Customs the person’s ordinary tax return for the tax year concerned. (2) For the purposes of sub-paragraph (1)(a), a self-assessment does not take account of the disposal if the amount of CGT that is self-assessed is less than the amount that would be payable under paragraph 6 if the person were required to make and deliver a return under this Schedule in respect of the disposal An example scenario is where a Self Assessment return is filed shortly after the end of the tax year and before the filing date for a CGT on UK Property return for a disposal. In this situation the CGT is payable by the usual self-assessment deadline. Example: An individual disposes of residential property, they exchange contracts on 12 March 2021, with completion on 26 March 2021. As this is close to the end of the tax year, if a 2020/21 Self Assessment return was required then it may be feasible for the person to file their SA return for 2020/21 sooner than the timeframe for filing the CGT on UK Property return. The effect of the legislation is that there is no requirement to file a CGT on UK Property return if the amount of CGT that would be due for the year and reported via a Self Assessment return is greater than would otherwise be included on the CGT on UK Property return. In that instance, only the Self-Assessment return would be required. Similarly, no UK property disposal return would be due when the Self Assessment return is due before the day by which a UK property disposal return was required e.g. say where was a long delay between the date of disposal and completion.

Further to my earlier post, there is another answered post which is relevant - search "CG allowance when there is both CG on property and on shares?". Not re losses, but shows the different rates, and also the hmrc answer that you can apply the allowance in the most beneficial way, ie to the property gain

I have a similar question. I would have expected the simple answer to be yes, except that different rates apply to property and shares. So, I would assume that in the example quoted by the OP, and assuming he is a higher rate taxpayer, he would pay 28% on the £100K property gain less 20% of the loss on the shares. Can anyone confirm this interpretation?