Shorter Reads

HMRC plots a route to CGT success

1 minute read

Published 4 October 2018

Authors

Share

Key information

A recent tax tribunal case has confirmed that an individual was liable to CGT on an off-plan property sale throughout their period of ownership, notwithstanding that part of the period included a time when the property had not yet been built. This ruling confirms that private residence relief turns on occupancy and that, broadly speaking, purchasers will only qualify for PPR for those periods of actual occupation. This ruling is significant for those who buy off-plan properties because it may be some years before the property is built and the new owners can move in.

This ruling may not help to calm the nerves of the shareholders of some of the UK’s largest housebuilders, whose share prices have all wobbled in the last few days following Teresa May’s announcement that the Government intends to introduce a new SDLT surcharge on non-UK resident purchasers.

https://www.ftadviser.com/regulation/2018/10/02/hmrc-wins-capital-gains-tax-battle/

Related latest updates
PREV NEXT

Arrow Back to Insights

Shorter Reads

HMRC plots a route to CGT success

Published 4 October 2018

Associated sectors / services

Authors

A recent tax tribunal case has confirmed that an individual was liable to CGT on an off-plan property sale throughout their period of ownership, notwithstanding that part of the period included a time when the property had not yet been built. This ruling confirms that private residence relief turns on occupancy and that, broadly speaking, purchasers will only qualify for PPR for those periods of actual occupation. This ruling is significant for those who buy off-plan properties because it may be some years before the property is built and the new owners can move in.

This ruling may not help to calm the nerves of the shareholders of some of the UK’s largest housebuilders, whose share prices have all wobbled in the last few days following Teresa May’s announcement that the Government intends to introduce a new SDLT surcharge on non-UK resident purchasers.

https://www.ftadviser.com/regulation/2018/10/02/hmrc-wins-capital-gains-tax-battle/

Associated sectors / services

Authors

Need some more information? Make an enquiry below.

    Subscribe

    Please add your details and your areas of interest below

    Specialist sectors:

    Legal services:

    Other information:

    Jurisdictions of interest to you (other than UK):

    Enjoy reading our articles? why not subscribe to notifications so you’ll never miss one?

    Subscribe to our articles

    Message us on WhatsApp (calling not available)

    Please note that Collyer Bristow provides this service during office hours for general information and enquiries only and that no legal or other professional advice will be provided over the WhatsApp platform. Please also note that if you choose to use this platform your personal data is likely to be processed outside the UK and EEA, including in the US. Appropriate legal or other professional opinion should be taken before taking or omitting to take any action in respect of any specific problem. Collyer Bristow LLP accepts no liability for any loss or damage which may arise from reliance on information provided. All information will be deleted immediately upon completion of a conversation.

    I accept Close

    Close
    Scroll up
    ExpandNeed some help?Toggle

    < Back to menu

    I have an issue and need your help

    Scroll to see our A-Z list of expertise

    Get in touch

    Get in touch using our form below.



      Business Close
      Private Wealth Close
      Hot Topics Close