Widow sells business property. CGT?

G

greeneman

Registered User
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A neighbour received a small commercial rental property in 2011 when husband died. He inherited the property in the 1970s. Property still in husbands name I am told no tax paid at any time. Widow has now agreed to sell the property for 130,000. These people have always lived on social welfare and cash economy and are not used to tax. Is here a CGT liability here ? How do we establish the historical values. They have never lived in this premises.
 
Issues to consider:

was the rental income declared for income tax?

was the rental income declared to the DSP?

Yes, there could be CAT and/or CGT issues.
 
The widow needs to establish the value of the property as at her late husbands date of death.
The profit , if any , between that value & the sale proceeds is liable to CGT .
It would appear that the late husbands estate has not been properly administered if the property is still in his name , I cannot see how the property can be sold until the estate is properly administered
 
Thanks for your interest.
No, the rent is never declared. Its always cash.
I think they are going to transfer it from the deceased husband to the 3 children and they will be the sellers and then give the widow the proceeds.
It that one way of avoiding the CGT ?
 
The next time you hear about shortages of public services, health waiting lists, blame your neighbours, as they appear to be evading tax, and may be illegally claiming social welfare payments.
 
One part of me thinks I should not give you any advice, as your neighbours appear to be criminals, engaged in tax evasion.

However, I'm feeling charitable, and will say this:

Did the husband have a will? If not, then the law decides who inherits his asset.
 
These people are tax evading scum and do not deserve help or advice from anyone.

Your posts are an affront and an insult to this site and its members.

I hope that they are caught and left destitute by Revenue.
 
Dear Members,
I understand the distress caused. My deepest apologies.
I was in a hurry. I totally agree the site is not for this.
 
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