Of course. I did not waant to get into the confusing world of the trust as It did not seem relevant to what the OP wanted to know. The trouble when the trhread drifts off into other areas can alsoconfuse.
Peter Crosland
Depending on when things happened, it may be the estate that has to pay the CGT, at trust rates.
You can't spread the gain over two years. The only way you could do that is by selling half of the house one year, and the other half the next year. This is possible with shares, but very difficult with a house.
an excellent thread this is my first time in this group which seems to be a mix of usa and uk tax . Is there a uk tax group by chance I am missing
40,000. We invested less than 10,000 and did a lot of the work ourselves. At this new value we have exceeded the inheritance tax threshold for 2005, 275,000 by about 36,000. Is the estate now liable for inheritance tax or are we as individuals each liable for capital gains tax?I believe CGT. We inherited the property at the value on the day of my father's death and so any improvements we made are outside of the administration of the estate. My brother thinks I should declare inheritance tax and try and claim the property development costs as an executor's expense. Looking at the forms for inheritance tax I can't see quite how I can do this.
Who is right?
BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.