CGT on disposal of (UK) investment property

Audrey

Registered User
Messages
293
I have a UK investment property. I am Irish resident and domiciled. The property is rented. When the property is eventually sold and I (hopefully) make a gain, is the gain subject to CGT in England or Ireland, (or both with the advantage of using the Double Taxation Agreement ["DTA"] to get a credit for the UK CGT paid)? I have been given two very different answers to this. Generally I'm told that the gain should be declared in both UK and Ireland, the CGT paid in the UK (at 40%) with a credit in Ireland (where the CGT rate is only 20%). On the other hand, I heard a 'professional' recently say that the UK Inland Revenue don't require any declaration over there at all, and that all I need do is declare the gain in Ireland and pay the 20%. This latter scenario would be easier obviously, and I'd like to know if it's correct.
 
Don't know for certain, but I reckon it would be Option A (unfortunately), pay the tax in both and get the credit here for the UK tax. The latter option may work, but it's probably evasion, that choice is up to you!
 
Non-residents are not liable to pay UK CGT - therefore, you will only pay CGT in Ireland. A quick phone call to the Inland Revenue will confirm this.

Regards, San Martino
 
Back
Top