Fair Rents (Scotland) Bill or Artificial state manipulation of free market rent?10:34 AM, 6th November 2020
About 4 weeks ago 36
CGT has been introduced on UK property for non-residents from April 2015. This will apply to the increase in value from April 2015, not from the whole time of ownership.
It is possible for a UK citizen, currently UK resident, to become non-resident, fully in accord with HMRC criteria for non-residence, for the tax year Apr 2016 to April 2017.
If that UK citizen were a landlord and sold all his stock, acquired over many years, during his period of non-residence, would he not have to be treated as non-resident for CGT purposes, therefore attracting a charge based on the increase in value of his stock ONLY from April 2015?
Surely, this has to be the case?
The old situation was of a UK resident becoming non-resident for five years consecutive years to mitigate a UK CGT liability. There is no extra stipulation now to say that a non-resident once having paid the non-resident CGT (on the increase since April 2015) will subsequently have an extra liability of the CGT for the gain during the whole period of ownership if they become UK resident again in the future.
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