Changes to the Payment of CGT Tax on the sale of Residential Properties

Are you aware that on 6 April 2020 the rules on the timing for the payment of Capital Gains Tax on sales of Residential Property are changing?

Now, when a sale is completed, any Capital Gains Tax on the sale of any non-exempt property is due within 30 days of completion of the sale, rather than later in the year in your annual Self Assessment Return. This could affect your cashflow if you were planning on using the sale proceeds; and if you do not pay any CGT in time, you could also be liable for late reporting penalties.

Whilst this is most likely to affect landlords, second home owners, trustees, personal representatives, and those who are giving property away, it is always important to obtain full legal and tax advice in relation to all of your property transactions.

Contact us if you are thinking of transferring a property.

Please contact Hugo Moore or Paul Harrison.