CGT Returns On Residential Property

Xeinadin Group



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Who is affected?

Individuals who are selling a residential property which is not their private residence.

This may include but not limited to:

  • Residential property not used as main home.
  • Holiday home
  • Rental properties
  • Inherited properties not used as main home.

New regulations

If you are selling a residential property following the changes from 6 April 2020, you now have only 30 days from the date of sale in order to declare the capital gain to HM Revenue and Customs and pay any tax due.

HMRC are raising penalties and interest for failures in relation to the new rules.
It is therefore important to complete the returns asap after sale.


The following are some exemptions:

  • Sale/Completion date was before 6 April 2020.
  • Criteria is met for full Private Residence Relief (main home).
  • Gift of a property to spouse/civil partner.
  • The gain is below the Annual Exempt Amount (AEA) amount which is £12,300 for 2020/21 and 2021/22.
  • Property was sold at a loss.
  • Property was outside of the UK.

What should I do?

If you have recently sold or are about to sell a property, please give us a call to discuss the situation so we can advise accordingly and if required can register the sale with HMRC an
prevent any penalties.

Contact 0151 285 3100 and ask for Tom, Ant, Paul or email us on tax email [email protected].