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CGT shared ownership

(7 Posts)
concertplayer Fri 03-Jun-16 09:31:00

1999 DM and DC jointly bought a property inhabited by Dm only.
Dm died in 2007. Property now to be sold.
Will Dc get any CGT relief for the 1999- 2007 as jointly owned or will
Dc have to pay on the full value profit since original purchase
in 1999?
sorry horrendously complicted

ImMeMe Fri 03-Jun-16 09:33:46

Half will have a base cost from 1999 purchase.

Half will have a base cost from probate value in 2007.

So deduct above from proceeds, take off ae of £11,100.

Tax at 18% or 28%.

concertplayer Fri 03-Jun-16 11:15:59

Wow imMeMe I am so impressed with you!
How would we find out the probate value as it never went through probate
There was just the property -Dm had no savings or any other assets?
Thank you so very much

IceMaiden73 Fri 03-Jun-16 17:54:10

If DM didn't live in it then there is no PPR relief available

Who has lived in it since 2007?

How did it not go through probate? Who dealt with the estate? U'm sure there would have been a valuation

concertplayer Sat 04-Jun-16 07:32:09

DM lived till 2007 then unoccupied
No probate as no other assets just the property
which went into DC name
We know what a similar property sold for in2007

user1464519881 Sat 04-Jun-16 21:02:57

SO as the property was in joint names as joint tenants DC inherited by survivorship and it was outside the estate.

Remember from the CGT worked out as above (and yes will be 18% or 28% sa the new CGT rates announced this year do not reduce residential property rates) you can deduct capital expenses such as purchase cost, property fees to buy it - solicitor, estate agent and any capital spending on it, not on going maintenance but capital costs like extensions and costs of sale and I think stamp duty on the purchase. If it was held a long time there indexation allowance relief too for before inflation gains./indexation was abolished- see www.gov.uk/government/publications/corporation-tax-on-chargeable-gains-indexation-allowance-2016/indexation-allowance-april-2016

Could DC not make it their home now from now on rather than selling it?

concertplayer Sun 05-Jun-16 09:34:04

Use Wow impressed S o we could use the indexation table to work out
what the value would have been in 2007?
The property was only Dm asset and the way things were set up it just
passed to DC on DM death
I had no idea you could claim purchase costs as well. Ithought it only
was the selling costs

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