{"id":127910,"date":"2022-07-22T13:00:06","date_gmt":"2022-07-22T06:00:06","guid":{"rendered":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/how-much-capital-gains-tax-should-i-pay-on-a-buy-to-let-property\/"},"modified":"2022-07-22T13:09:42","modified_gmt":"2022-07-22T06:09:42","slug":"how-much-capital-gains-tax-should-i-pay-on-a-buy-to-let-property","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/how-much-capital-gains-tax-should-i-pay-on-a-buy-to-let-property\/","title":{"rendered":"How much capital gains tax should I pay on a buy-to-let property?"},"content":{"rendered":"


\nA reader says they bought a property with a friend and then bought out his 50% shareQ I hope you can help with my tricky problem! A friend and I bought a buy-to-let property jointly in April 2002 for \u00a352,000 using a 100% interest-only mortgage. By August 2004 the value had risen considerably, and I paid my friend \u00a325,000 to buy out his 50% share, as well as taking over the mortgage (still \u00a352,000) in my sole name. I have just sold the property for \u00a3140,000 and am struggling to find out what purchase price I should use to calculate the capital gain. The sensible figure for me would be \u00a377,000 (the \u00a352,000 we jointly paid plus the \u00a325,000 I paid my friend for his half), but is that correct? DBA No, I don\u2019t think it is correct. To calculate the gain, you use the amount you originally paid for the property and deduct that from what you got for the property. So in your case the gain is \u00a388,000 \u2013 that is \u00a3140,000 minus \u00a352,000. But you can reduce that \u00a388,000 by deducting money spent buying and selling the property which includes things such as solicitor, broker and estate agents\u2019 fees as well as stamp duty land tax (SDLT) and the cost of building work which increased the value of the property but not simple redecoration. Continue reading…
\n
\nSource : theguardian.com
\nRead more…How much capital gains tax should I pay on a buy-to-let property?<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

A reader says they bought a property with a friend and then bought out his...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-127910","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-xh4","jetpack-related-posts":[{"id":34838,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/how-can-i-buy-my-partner-out-of-our-shared-property\/","url_meta":{"origin":127910,"position":0},"title":"How can I buy my partner out of our shared property?","date":"December 5, 2012","format":false,"excerpt":"\r Q My partner and I split up a year ago. We jointly own a house worth about \u00a3400,000 with an interest-only mortgage of \u00a3242,000. My ex paid half the mortgage until the rate doubled after our cheap rate finished, so since August I have paid it on my own.We\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":124492,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/i-bought-a-property-with-a-friend-how-should-we-split-ownership\/","url_meta":{"origin":127910,"position":1},"title":"I bought a property with a friend \u2013\u00a0how should we split ownership?","date":"February 7, 2022","format":false,"excerpt":"\r We originally divided it to reflect our uneven deposits, but now I\u2019ve paid to renovate a bathroomQ In May 2018, I bought a property with a friend. His deposit was larger than mine although we split the mortgage equally. In the deed of trust that we signed we agreed\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":57960,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/how-can-i-buy-my-friend-out-of-our-joint-property\/","url_meta":{"origin":127910,"position":2},"title":"How can I buy my friend out of our joint property?","date":"June 15, 2017","format":false,"excerpt":"\r I can\u2019t afford to take on the whole mortgage, but another friend is willing to help Q I could do with some advice with regard to buying someone out of a property. 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