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?