What do I need to do if I've sold a property?

Article

Sold a property? You may need to tell HMRC

For UK residential property sales that took place on or after 27th October 2021, an individual now has 60 days from the date of completion to deal with any Capital Gains Tax compliance.

A 60-day return is only needed for a UK resident if any Capital Gains Tax is due. Non-UK residents are required to submit a return to HMRC regardless of whether there is any tax due and report all disposals of UK land (not just disposals of residential property).

This also extends to indirect disposals of UK land, for example when a non-resident person sells shares in a company that derives 75% or more of its gross value from UK land (in certain circumstances) so professional advice is recommended.

Action to take If you are considering selling residential property, we’d recommend you contact TaxAssist Accountants ahead of the sale. That way we can help you to identify any potential planning opportunities and talk you through your compliance requirements. You will also need the time to collate details of the original purchase of the property, including any subsequent enhancement expenditure, and the periods you occupied the property.

At TaxAssist Accountants we can help you to identify:

whether you or your property are affected by reporting requirements
the deadlines for submitting a CGT return
what information is required for the return
any reliefs to utilise and reduce the gain arising
how to claim a loss if one arises
how best to time sales of residential property and other assets to help cash flow
how much tax you need to pay and when

How else can TaxAssist help you?

TaxAssist Accountants can provide landlords of all properties, including residential, commercial and holiday lets, such as Airbnb properties, with advice regarding all tax aspects of buying, selling and letting property.

Our services include:

Complete your self-assessment tax return.
Ensure you claim all the expenses and reliefs to which you are entitled.
Provide you with a digital bookkeeping solution that will make keeping track of your accounts easier.
Advise you on the qualifying conditions and the implication of furnished holiday lets.
Advise on the conditions of tax when letting rooms in your own house.

We can also introduce you to TaxAssist Financial Services who can work with you to ensure you, your family and your business are financially protected. Their Independent Financial Advisers take time to understand your situation to provide clear advice and a tailored plan to help you achieve your financial goals.

TaxAssist Financial Services are not tied to one product range so can select mortgages, protection, pensions and investments from a wide range of providers, including those not available through high street lenders. Contact our team at TaxAssist Accountants today for a free, no obligation meeting to discuss this further.

Frequently Asked Questions

If you have sold a property, or are thinking of selling a property, you may need to report this to HM Revenue & Customs (HMRC) and pay Capital Gains Tax (CGT). Properties used solely as your main residence are unlikely to have a CGT liability and the sale probably won't need to be reported to HMRC. However, if the property was rented out you may need to take action. If you are a UK resident and there is a CGT liability on the property sale you will need to report this to HMRC within 60 days of completion. If you are non-UK resident, you will need to report the sale to HMRC within 60 days of completion whether there is a CGT liability or not. Speak to an accountant who can calculate your CGT liability, look at tax reliefs and prepare your report to HMRC.

Date published 26 Sep 2023

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

Making Tax Digital for landlords

2 weeks ago

How do I register for self-assessment?

3 months ago

Do you need an accountant? Here’s what you need to know

1 month ago

Choose the right accounting firm for you

Running your own business can be challenging so why not let TaxAssist Accountants manage your tax, accounting, bookkeeping and payroll needs? If you are not receiving the service you deserve from your accountant, then perhaps it’s time to make the switch?