Client purchased and lived in home 'A' for a year while working self-employed (he's not a builder).
Due to lack of work client then did some property improvements on home A to 'fill a year when I had little work on but had some savings and time to invest'.
Time goes on.
Client manages to get a loan to purchase property 'B'
Spent lots of time doing it up (as it was a wreck) before finally moving into it.
Lived in house A all the time until B was complete and habitable - then moved into house B and put house A on the market.
House A was purchased in March 2006 for £200,000.
House B was purchased in October 2008.
Client moved into House B early 2011.
House A marketed for sale from time house B was occupied. Never been rented out, still empty, on market at a reduced price of £300,000.
If there is a gain on house A (I don't know as I don't have all the figures), do I have a problem with PPR relief and CGT on house A or do we just have to write to HMRC explaining the situation and the timeline, as it's now over two years since the purchase of house B?
Or am I worrying un-necessarily?
Any comments gratefully received.
- Tax treatment on the sale of a business 190 7
- No Tax Returns submitted for last 16 years 885 19
- Companies house dissolved my company. What do I do now? 460 9
- Can I become a self employed bookkeeper?? 169 1
- VAT on converted property having opted to tax 176 7
- tagging in Iris accounts production for non standard item 122 1
- Place of Supply or these two contracts walk into a German Bar 105 1
- Auto-Enrolment 2,860 155
- How to account for VAT on a newbuild that has been let 104 1
- 'Find an accountant' 212 2
- PI insurance for Auto Enrolment 105 1
- Withholding Tax - Invoicing Ecuador 86 1
- Depreciation on property improvements 109 1
- Construction Industry Funding 112 5
- CGT advice on amicable divorce settlement 106 1
- How important are Journals? 333 9
- QuickBooks, Xero, FreeAgent and ClearBooks 725 15
- Company trading loss relief 272 4
- National Insurance 603 1
- Social Worker limited Co 131 1
- Best way to take money from a business if you have unlimited EIS allowances? 492
- Skandia using wrong address 434
- Accountants who provide tech/IT advice 390
- Does anyone use PS Financials accounting software out there? 266
- FHL, period of grace and Entrepreneur's relief 237
- Employee rewards 228
- Legislation access for part-time sole practitioner? 207
- EPS Analysis - Change to EURO 203
- Rental Property W&T And Equipment 180
- Gift of reversion and lease into trust by two different people - later PPR 180