As announced in the Autumn Budget, the deadline for UK residents to report and pay capital gains tax (CGT) on the sale of UK residential property has been extended from 30 days to 60 days.
The change comes into immediate effect and applies to property completions on or after 27 October 2021.
A report and tax payment is required whenever a capital gain is made on the disposal or transfer of residential property or land, and so will affect Landlords, second home owners, divorcing couples and parents gifting assets to children.
There isn’t a requirement to submit a return in the following circumstances:
A Government Gateway user ID will be needed to set up a UK Property account through which to file the report, and interest and penalties may be charged if you do not report and pay any CGT due on time.
Capital gains will also need to be reported on your Self Assessment tax return in the following tax year, as normal, together with a note of any CGT already paid.
To report any gains and tax due, you will need:
For help with calculating your capital gains tax liability, reporting disposals of UK residential property, and associated advice on capital gains tax planning, please contact your local Perrys branch.