For over 30 years Richard Edwards Group has been providing excellent advice and a first class service to our clients. We have a large portfolio of clients and service businesses across many sectors. Book one of our FREE INITIAL MEETINGS to start benefiting from our expertise today.

More time to pay Capital Gains Tax

Source: HM Revenue & Customs | | 04/11/2021

The Capital Gains Tax (CGT) reporting and payment date for UK residents that sell a residential property changed with effect from 6 April 2020. This change meant that any CGT due on the sale of a residential property needed to be reported and a payment on account of any CGT due made within 30 days of the completion of the transaction.

In the Autumn Budget, the Chancellor announced that the deadline for making CGT returns and associated payments on account would be changed from 30 days after completion to 60 days with immediate effect (from 27 October 2021).

In practice, this change only applies to the sale of any residential property that does not qualify for Private Residence Relief (PRR). The PRR relief applies to qualifying residential properly used wholly as a main family residence. 

HMRC has listed the following types of property sales that are affected:

  • a property that you have not used as your main home;
  • a holiday home;
  • a property which you let out for people to live in;
  • a property that you’ve inherited and have not used as your main home.

There can be penalties and interest if any CGT due on the sale of a UK property is not paid within the stated 60-day time limit. Relevant disposals that completed before 27 October 2021 remain subject to the 30-day deadline.



 

Latest News

New warnings from HMRC re tax fraudsters
25/11/2021 - More...
Fraudsters are continuing to target taxpayers with scam emails in advance of the 31 January 2022 deadline for submission of Self-Assessment returns. In fact, over the last year,

Teesside Freeport open for business
25/11/2021 - More...
The first of the English Freeports, Teesside, opened operations on 19 November 2021, and is expected to be followed shortly by Thames and Humber. The Teesside Freeport will be at


Newsletter

With our newsletter, you automatically receive our latest news per e-mail and get access to the archive including advanced search options!

» Sign up for the Newsletter
» Login