Capital Gains Tax - UK property

The Messer

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Not really sure how to calculate potential CGT on a UK property I have

The Facts:
Bought in 2000 for £60,000 (£500 legal fees) Stg Euro rate on the day 0.61
Lived in the property for 2 years then returned to Ireland
Has been rented since (fully tax compliant)
Current Value £100,000 today (sale cost 2000) Exchange rate today 0.86

Do I do the calculation in Euros and then calculate CGT

or

Do the calculation in Sterling, calculate the gain and change that to Euro to work out liability?

There is a massive difference in the results.
 
Don't forget that the HMRC in the UK now charges capital gains tax on gains made on UK residential property owned by non-residents.
You need to establish the base cost for UK tax purposes and the subsequent gain. Under the UK-Ireland double tax treaty you would be allowed to offset the UK tax against your final Irish tax liability.
 
Thanks Marc,

I was aware of the UK element, the agent I spoke to said it would be about £5300.

The Euro cost of the property in 2000 would be c. €98000 which equates to a gain of €16k due to currency movement.
But if the calc is done in sterling the gain is c.£40000 or €46,400 when changed to euro

Bit of a difference........
 
Thank you Jon

That is the best result I could have hoped for. I had seen that document, but had dismissed the example because it referred to shares.
 
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