Somebody just mentioned that I would have to pay Capital Gains Tax from the sale of my house. If this happens, I will go from a 3 bed semi here in England to a tiny flat in Oz. As I have just had to pay AUS$26,500 for my 2nd visa contribution and of course hundreds of pounds for everything else, I feel ready to scrub round it. I will only have my government pension to live on when I get there, and a bit left from my savings. At the age of 62, and going it alone, wanted to know that I would have enough to buy at the other end, and maybe have some left to help out when needed.

If I do have to pay this, would it be deducted when I transfer the money, or before I even get it. I really dont understand this tax system, and have had nobody to help or advise on any issues.

Am really depressed now!!!!!!!!!!!!! Anybody else going through the same thing?

hi not sure on your individual circumstances, but we sold and took around 100,000 pounds with us and did not get taxed on any of it.
the commonwealth bank of australia have a uk address, they might be able to help you. good luck and good on you for the move.

Sound like someone is pulling your pension book, say nothing come and live in the sun enjoy

now sit down and take several deep breathes and calm down....

is the house you are selling your only uk house? is it where you live? will you sell it before coming to Australia? If you answer yes to those, then you *should* have no CGT on the house as it should be classed as your principle private residence (PPR) and is exempt.

Complications can arise if you rent the place out, you have more than 1 property, you sell house after you emigrate. If you think that this may apply to you then you should get professional advice. You can always check out HM revenue & customs website or contact your tax office.

If your house is your main residence and you've been living in it you won't pay CGT in the UK when you sell it.

If you have other properties that's another story and maybe paying £150 to a good accountant to reduce your tax liability would be the way to go.

Sorry - but I don't know anything about CGT in Oz

Suzy x

been a while since i had any dealings but as i understood it you only paid CGT on second and subsequent homes

You have three years to sell your own house after you leave even if you rent it out (there are other exemptions as well) it's all in a booklet called CGT1 which you can order off the IR website.

But you can also save on CGT when you move if you are liable (rented out property etc.) as your assets are rebased when you become a Oz tax resident .....Alan Collett's website has lots of info and factsheets.

This is only a basic pointer so as previously said ask an accountant if you are at all worried.

spot on suzy,

thats what weve got to do. no cgt on this house and hubbys house that he used to live in, but i'll have cgt on the 2 rental properties i have when i sell them. i've got to sell one in this tax year and one in next, therefore one before 5th april and the other on the 6th!

Good thinking - 2 tax years. We had a rental property and paid an accountant £120 to reduce our liability. He was so good we ended up with a rebate instead of a bill.

So yah boo sucks to you Mr Brown

something else my accountant has told me to do is to put the rental properties into joint names before i sell as cgt excemption can effectively be doubled to 17,000!

I know we didn't do that - I'm not sure why but I remember the accountant said we couldn't. The rental was hubby's flat before we married but with negative equity it was better to rent it until prices rose so we rented it out for about 7 years.

We claimed for everything we could and got a good rebate.

Suzy x

sold afew houses in the past dont say anything what they dont no they cant find out............hope no one is reading this then oops


enjoy your life at that young age smile

Hey Debbie,
no need to pay capital gains tax in U.K. AT ALL if you go about it the correct way.
To answer the original posters question.If it was her main residence,no CGT to pay at all.
If you want to avoid paying GCT in U.K.
Become a NON RESIDENT in one tax year.
Then sell all properties,while you are non resident, the following tax year and so long as you do not return permanantly to the U.K within 5 years no CGT will be applicable.You can still visit for holidays etc.
Try this link www.taxationweb.co.uk.

Gud luk
Ian

WE ARE ABOUT TO SELL OUR HOUSE,AND HAVE SOME EQUITY ,AND THEN TRY AND TRANSFER TO AUSSIE,HOW CAN WE AVOID GIVING ANY AWAY TO THE TAXMEN,EITHER WAY??

Geary,
don't panic.If your house is your MAIN RESIDENCE, you will have no capital gains tax to pay.Get the thing sold and make loads of dosh and take it with you mate.

Gud Luk
Ian