Originally posted by NowPermOutsideUK
View Post
- Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
- Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Collapse
You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:
- You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
- You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
- If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.
Logging in...
Previously on "Property Sale - CGT - Non resident Tax Payer"
Collapse
-
Having spent a lot of time on this the answer is you can dispose of your asset CGT free on all the increase up to April 2015 provided you stay out of the UK for a cumulative 5 years as non resident.
Now this is massively useful for me as I have some CGT on properties held in personal names where the bulk of the increase in value occurred before April 2015
It also does mean the following which is also very relevant
Suppose someone who contracted in the UK and make a warchest but left in April 2015 with the warchest in his company and did not MVL (which is my case I did not MVL but left after April 2015)
This hypothetical person now has a £100 LTD shareholding worth the value of his warchest and if he was in the UK and gave the shares away would have to pay CGT at market value not disposal price
If however he left for five years he could sell the shares to a new SPV for market value without paying any CGT at all
I was not sure if I should start a new thread on this as I did not want to pollute threads but this seems highly overlooked and never mentioned on this forum - Is that because this is truly novel approach or because not many people can really leave UK for five years?!Last edited by NowPermOutsideUK; 9 November 2020, 15:37.
Leave a comment:
-
Originally posted by NowPermOutsideUK View PostCould well be quite a few non UK residents tax residents who might use this idea to optimise their property holdings.
Did you even understand the question and point raised? Those with big CGT bills (which I know eek you dont have because you are waiting for the famous HPC) can save bucket loads of cash - With the stamp duty holiday this could be a good time to move property from personal to company names and lock in CGT
Apart from that WTF are you talking about - I own my house (mortgage free for decades) and I don't do BTL as I was burnt by that back in 2000 and it ain't worth the hassle for the return available.Last edited by eek; 3 November 2020, 10:37.
Leave a comment:
-
Originally posted by eek View Postwhat does your accountant say.
Did you even understand the question and point raised? Those with big CGT bills (which I know eek you dont have because you are waiting for the famous HPC) can save bucket loads of cash - With the stamp duty holiday this could be a good time to move property from personal to company names and lock in CGT
Leave a comment:
-
Property Sale - CGT - Non resident Tax Payer
This thread will try to understand better the rules around property disposal for non UK tax payers.
As I understand it if you are non uk tax resident and dispose of property any gains you made prior to april 2015 are tax free and only the increase in value from 2015 -> date of sale is chargeable for CGT purposes. This applies to sale of property that you own personally and also sale of shares in a property rich company
There is a five year temporary non tax resident rule to prevent someone leaving for one year selling their assets and then returning. I ve had a good read on the HMRC websites and in particular this
HS278 Temporary non-residents and Capital Gains Tax (2020) - GOV.UK
My question is whether anyone has done this personally themselves and even thought of whilst non tax resident moving property from personal to company name or other way round to lock in the CGT tax break whilst continuing to own it?
Secondly for this to actually be effective you need to be away for five years - My accountant is checking but does this mean that I can wait five years, sell the asset and then become uk tax resident straight away?? Or does it mean that asset needs to be sold and then a clear five years abroad is required?Tags: None
- Home
- News & Features
- First Timers
- IR35 / S660 / BN66
- Employee Benefit Trusts
- Agency Workers Regulations
- MSC Legislation
- Limited Companies
- Dividends
- Umbrella Company
- VAT / Flat Rate VAT
- Job News & Guides
- Money News & Guides
- Guide to Contracts
- Successful Contracting
- Contracting Overseas
- Contractor Calculators
- MVL
- Contractor Expenses
Advertisers
Contractor Services
CUK News
- Streamline Your Retirement with iSIPP: A Solution for Contractor Pensions Sep 1 09:13
- Making the most of pension lump sums: overview for contractors Sep 1 08:36
- Umbrella company tribunal cases are opening up; are your wages subject to unlawful deductions, too? Aug 31 08:38
- Contractors, relabelling 'labour' as 'services' to appear 'fully contracted out' won't dupe IR35 inspectors Aug 31 08:30
- How often does HMRC check tax returns? Aug 30 08:27
- Work-life balance as an IT contractor: 5 top tips from a tech recruiter Aug 30 08:20
- Autumn Statement 2023 tipped to prioritise mental health, in a boost for UK workplaces Aug 29 08:33
- Final reminder for contractors to respond to the umbrella consultation (closing today) Aug 29 08:09
- Top 5 most in demand cyber security contract roles Aug 25 08:38
- Changes to the right to request flexible working are incoming, but how will contractors be affected? Aug 24 08:25
Leave a comment: