There is still time for those selling second properties to come forward and declare capital gains tax under HMRC’s Property Sales Campaign.
HMRC is now half way through its property sales campaign, which will help anyone who has owned, sold or disposed of a second or additional property or holiday home to find out whether they need to pay Capital Gains Tax (CGT).
CGT is due on profit made from property disposal (after allowing for any costs associated with its purchase and sale, along with certain reliefs).
To take advantage of the best possible terms, participants must voluntarily tell HMRC about their income or gains, and pay what they owe by 6 September.
After this date, HMRC will use the information it holds on millions of property transactions, both here and abroad, to target those we consider high risk.
Some people may not understand that selling a second home or holiday home or giving property as a gift could attract CGT. And not telling HMRC could lead to penalties, or even criminal prosecution.
Guidance
HMRC has provided detailed information on its website.
Its message is that anyone who has disposed of a property that was not their principal private residence for a profit may attract CGT. And tax may be due on the profits made on selling or disposing of the property.
Timeline
The campaign first opened on 5 March. Those who think they need to declare CGT have a limited time to step forward.
Those who want to participate will have until 9 August to tell HMRC about any unpaid tax on property sales, and until 6 September to pay the tax owe.
After this date HMRC will take a much closer look at the tax affairs of those who have sold properties other than their main home, but who appear to have paid no CGT.
Kam
HMRC, Press Office
HMRC is now half way through its property sales campaign, which will help anyone who has owned, sold or disposed of a second or additional property or holiday home to find out whether they need to pay Capital Gains Tax (CGT).
CGT is due on profit made from property disposal (after allowing for any costs associated with its purchase and sale, along with certain reliefs).
To take advantage of the best possible terms, participants must voluntarily tell HMRC about their income or gains, and pay what they owe by 6 September.
After this date, HMRC will use the information it holds on millions of property transactions, both here and abroad, to target those we consider high risk.
Some people may not understand that selling a second home or holiday home or giving property as a gift could attract CGT. And not telling HMRC could lead to penalties, or even criminal prosecution.
Guidance
HMRC has provided detailed information on its website.
Its message is that anyone who has disposed of a property that was not their principal private residence for a profit may attract CGT. And tax may be due on the profits made on selling or disposing of the property.
Timeline
The campaign first opened on 5 March. Those who think they need to declare CGT have a limited time to step forward.
Those who want to participate will have until 9 August to tell HMRC about any unpaid tax on property sales, and until 6 September to pay the tax owe.
After this date HMRC will take a much closer look at the tax affairs of those who have sold properties other than their main home, but who appear to have paid no CGT.
Kam
HMRC, Press Office