She has owned the property since Jun 1996 - Only as rental never living in it herself
She is a basic rate tax payer & her main income is from the rental of the property
There were major renovations in 2002 (cost £13t apx)
She has been approached by her tenant who has expressed an interest in buying.
My questions:
1) Would the fact that the buyer would be the past tenant throw up any tax issues
2)She has heard that there are certain times of the year when it would be more beneficial tax wise to sell the property - if this is the case when is this & would this date be the exchange date or completion date
1) Would the fact that the buyer would be the past tenant throw up any tax issues
2)She has heard that there are certain times of the year when it would be more beneficial tax wise to sell the property - if this is the case when is this & would this date be the exchange date or completion date
Q1. No, there are no tax issues throw up.
Q2. Not really. You could make sure that the sale is made after 5th April to make use of any increase in the Annual Exempt amount and to defer the payment of the tax for an extra 12 months. May also help the accountant to do some planning to reduce the liability.
lol, an American telling a UK Chartered that they are correct over UK tax...
I'm waiting for the link to appear in the signature (they invariably do about five minutes before being deleted and banned).
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
so that's the ploy, I was struggling to see why he made the comment...I might re-iterate everything that's already been said to get to 'Expert' status! I like the way he agreed the treatment was not only correct but very correct!
