Do I need an accountant? Cgt and stamp duty

[Indecisive09]

When me and DH bought our current house (2022) we didn't sell the house we were living in immediately, and this sold last month.

We didn't rent it out, it was mainly as the second house needed renovating and then we needed to get the first house sold etc

We paid the higher rate Stamp duty when we bought the second house and it looks as though we can claim part of that back

The bit which is confusing me is CGT, as we lived there for part of the time we owned it, and I don't know if we can both use allowances etc.

Do I need an accountant or a tax adviser or am I overthinking this and should I just try and do this myself?

Speak to Angela Rayner. She's the expert on this.

Stamp Duty --> https://www.gov.uk/government/publications/stamp-duty-land-tax-apply-for-a-repayment-of-the-higher-rates-for-additional-properties

CGT --> https://www.gov.uk/tax-sell-home/work-out-your-gain

Both look relatively simple to do. Have a read. If you think it is too complicated then get an accountant involved.

Claiming back the stamp duty is easy. Don't pay an accountant to do that.

Not sure about CGT.

There are a few things to think about here. The last 9 months of ownership will be CGT free. It's calculated on a daily pro- rata basis. You'll have £3k of annual exemption each. When did you effectively move from one to the other? Can you evidence this?

Importantly, if there is a gain over your £3k exemptions, you need to submit a special return and pay the tax within 60 days of completion.

Thank you, this is really helpful. I'm not too sure of the date exactly, we had to keep paying utilities and council tax at both so I'm unsure. We got a man with a van to help us with the beds before we moved in, would that count as evidence?

Would the 3k each count if the house was bought in my name (I owned it before we were married).

I've got about a month to sort this out, I'm kicking myself for not being more organised

Man with a van, yes, that would be good evidence.

Sorry, if it was only yours, then only one allowance is available.

Yes, see a tax adviser. There are some important principles around the new home also - this will qualify as your main residence despite not occupying it. A qualified adviser will give you chapter and verse. You also may need to do the online CGT return within 60 days, unless the gains is wholly exempt (likely unless you have had significant periods of absence from it in the past).