Nicholas Miller

Hi, Please can you calrify how the above which has three beneficiaries but the estate pays the CGT is different to this, where there are 2 beneficiaries but teh CGT can be split 50%? Hi, I'm after some guidance on the following: My mother died in Nov 2021. My brother and I were left my mother's property (her only home) in her will and I was named executor. The inheritance tax forms/calculation were submitted, with no Inheritance tax to pay as the estate value was under the threshold. The grant of probabte application was completed/granted. The property was valued at £170k and sold for £189k (property sale completed May 2022). As the property was left in the will to 2 of us, I believed that because the capital gain on the property, split between 2, was below the £12300 personal allowance for 2022/2023, that I did not need to report and pay any gain within 60 days, but I still needed to report it, as per the information on this webpage https://www.gov.uk/capital-gains-tax/work-out-need-to-pay: You still need to report your gains in your tax return if both of the following apply: the total amount you sold the assets for was more than 4 times your allowance you’re registered for Self Assessment As I complete a Self Assesment for the 'High Income Child Benefit Charge', I planned to report this via my SA. However, on completing the sections for disposal of asset/property on my Self Assesment, I realise there is no consideration for the gain being split accross beneficiaries (my brother and I). This has led me to further reading, and I'm now concerned that I've made a mistake as the executor of my mother's estate. So my questions are, is it correct that I could split the gain between my brother and I? (If I complete the calculation on https://www.tax.service.gov.uk/calculate-your-capital-gains/resident/properties/disposal-costs, entering values for only my share in the property, is calculates there is nothing to pay) Or is it the estate that had a CGT allowance of £12300, and I should have reported the gain and paid this within 60 days of the sale? If the latter, how should I now report that gain? Is it done via a 'Capital Gains Tax on UK property' account? Thank you. Posted 11 months ago by HMRC Admin 20 Response Hi G2023, Please note that, as joint inheritors of your late mother's home, both you and your brother should declare 50% of the Capital Gains tax profit and deductions in your own Self Assessment tax returns (on the grounds that the asset was sold for more than 4 times your £12300 CGT allowance). Because your 50% gain was below the £12300 threshold, there was no requirement to report the transaction within 60 days. Report and pay your Capital Gains Tax Thank you.