Building on family land and tax implications.

[vic74]

Hi,

I am wondering if someone can help me? We have had some land given to us by my in-laws. It has been signed over to us and we are currently applying for planning permission to build a house on it. Originally we were thinking to live in the house but now we are not so sure, and are wondering about building it to sell. What would the tax implications be if we don't live in it but sell? Do we have to live in the house for 5 years to avoid the tax before selling?

I'd really appreciate some feedback on this to help us plan ahead.

Thanks.

 

[zepplin]

There is an article on this page entitled selling a site beside your home which may or may not be helpful to you.

For complex issues consult a good tax advisor. Could save you a lot.

[broken link removed]

 

[z109]

You may only get planning permission on the basis that you live there for a certain period (up to ten years).

Did you apply on the basis that you plan to live there or did you make no mention of living there?