01904 690188
This email address is being protected from spambots. You need JavaScript enabled to view it.

Search News

Living abroad and selling UK home?

Source: HM Revenue & Customs | | 20/02/2018

A capital gains tax (CGT) charge on the sale of UK residential property by non-UK residents was introduced in April 2015. Only the amount of the overall gain relating to the period after 5 April 2015 is chargeable to tax.

In certain circumstances private residence relief may apply where a property is the owner’s only or main residence. For example, you don’t usually pay any tax for any tax years in which you, your spouse or civil partner spent at least 90 days in your UK home. In most cases, the final 18 months of ownership usually qualifies for full tax relief.

A UK non-resident that sells UK residential property needs to inform HMRC within 30 days of transferring ownership of a relevant property (known as conveyancing). The notification must be made whether or not there is any non-resident CGT to be paid.

The return must be made using the non-resident capital gains tax return online form even if there is a loss on the disposal or if the taxpayer is required to report the disposal on their own personal or corporation tax self-assessment tax return.

Any non-resident CGT charge applicable is applied at different rates according to whether the seller is a non-resident individual, personal representative, trustee closely-held company or fund. Any non-resident CGT that is due must also be paid within 30 days of the conveyance date.

Planning note

If the taxpayer is registered for UK tax they can opt to pay the non-resident CGT due when they submit their regular self assessment return. There are penalties for failing to file the non-resident CGT return within the deadline as well as for failing to pay any tax due on time.


Latest News

Childcare voucher scheme deadline extended
17/03/2018 - More...
The government has announced that the employer-operated childcare voucher scheme will remain open to new entrants for a

Tax avoidance scheme scuppered by HMRC
13/03/2018 - More...
A tax avoidance scheme used by businesses that sought to avoid paying tax and National Insurance on company directors’

New offshore tax penalties
13/03/2018 - More...
New legislation that comes into effect from 1 October 2018 will see higher penalties for anyone with undeclared offshore


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



Copyright © 2018 - Beckingtons Limited | Beckingtons Limited | Registered in England & Wales | Registered No. 4671864 | Registered Office 2 Clifton Moor Business Village, James Nicolson Link, York, YO30 4XG | VAT Registration No. 721561752

Cookie Policy