21:25 PM, 1st November 2012, About 10 years ago 4
I have just received a property tax question from a lady called Barbara which I’m not sure of the answer. Therefore, I am publishing her email as an article to seek the opinion of other readers. I have also invited my accountants to comment too as I suspect there may be a way for Barbara and her husband to achieve CGT roll-over relief by creating a limited company for the purpose of property development (refurbishment and sell on) given their slightly unusual circumstances.
Barbara’s question relates to CGT roll-over relief and reads as follows:-
Having just read your article about roll over relief not being available on the sale of BTL properties.I was wondering if the purchase of buy-to-let properties are eligible for roll over relief after the sale of a business property ?.
Hubby and I are close to retirement and have a business property to sell with a residential element (our main residence).
As I see it we have the choice of either paying CGT or ER or rolling over the proceeds of the non residential part of the property. Could proceeds be rolled over into BTL or property for refurb/sale. Presumably any profit from the latter would need to be ‘rolled over’ again or would personal allowances and income tax kick in here ?
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