Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration
Home Saved articles Viewed items Login Contact Free Trial
|

Either or

© Copyright LexisNexis 2024. All rights reserved.

23 June 2009
Issue: 4211 / Categories: Forum & Feedback , Capital Gains , Only or main residence
An unmarried couple jointly owned a property for 14 years before the woman moves out. The man remains there for five years before moving out and selling his share to the woman who subsequently sells the property a year later. At what point in the calculation is main residence relief under TCGA 1992, s 222 given?

My client and her boyfriend jointly purchased a house 20 years ago for a total of £50 000 which they used as their only or main residence.

They never married and 14 years later (i.e. six years ago) they separated when my client moved out and purchased another house where she still lives.

One year ago the ex-boyfriend moved out and our client purchased his half share of their house for £80 000. Our client now hopes to sell that property for £220 000 and has asked for capital gains tax advice.

This seemed pretty straightforward but it then occurred to me that there was more than one way of calculating this and I should be grateful if Taxation readers could advise on the correct method of calculating the gain.

Do I simply deduct a cost of £105 000 (£25 000 plus £80 000) from the...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Subscribe Now...

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

READERS' FORUM premium icon
Read All
Practice tip: Three Rs for accountants Readers’ forum: What are the tax implications of gifts to politicians? Readers’ forum: Exception for family or personal relationships Readers’ forum: Can interest from joint account be divided other than equally? Readers’ forum: Is option to tax possible for rooftop land sale to build flats?
FIVE WAYS TO MAKE ACCOUNTS PRODUCTION AND TAX EASIER.
Download the exclusive Xero
free report here.

New queries
Please email any questions you might have
to: taxation@lexisnexis.co.uk.

NEWS premium icon
Read All
Crackdown on national minimum wage compliance Reminder of voluntary contributions deadline Interactive tool launched Increased tax rates could drive business owners abroad Nudge letters target missing 2022-23 returns
DEADLINE DATES
CASES premium icon
Read All
Qualifying trading began after deadline Compatibility of exit tax legislation with EU law Difference between calculating a claim and making one Properties in Malta were subject to UK tax Reasonable excuse for failing to submit returns on time
MOST POPULAR
This week's opinion: 24 October 2024 Qualifying trading began after deadline Compatibility of exit tax legislation with EU law Difference between calculating a claim and making one Properties in Malta were subject to UK tax
Copyright © 2024 LexisNexis
back to top icon