Capital Gains Tax and Enhancement

Capital Gains Tax and Enhancement

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I have a question about enhancement of land and capital gains tax. The gain is on a piece of land  jointly owned by two brothers. One of the brothers spent money on renovating a shed on the land. The other brother has sold his share and I was wondering whether the selling brother could claim the enhancement expenditure to reduce capital gains tax even though he did not contribute to the renovation. The renovations have increased the value of the land and there is no partnership in place for the land as there was no trade taking place. Any advice would be much appreciated

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By User deleted
13th Oct 2015 20:17

Similar
Very similar question posted in the last week. Have a search.

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By Paul D Utherone
13th Oct 2015 23:16

Sold his share to who?

The other brother, or someone else, or indeed have they sold the land altogether? But otherwise, as above

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By Justin Bryant
14th Oct 2015 10:35

Yes

Just treat as loan repaid from share of net proceeds (must have been shedloads of work).

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