House Sold - The Deed is done

A place to discuss and ask questions on all aspects of selling a property in France.
landmannnn
Posts: 248
Joined: Fri Nov 01, 2019 2:48 pm
Has thanked: 35 times
Been thanked: 56 times

Re: House Sold - The Deed is done

Post by landmannnn »

Surely if you had made a profit it would have been taxed in France?
So based on no double taxation, it is a French tax affair, not a UK one.

User avatar
Loiseau
Posts: 505
Joined: Tue Mar 06, 2018 1:57 am
Location: London. Ex-85; sometimes 62
Has thanked: 206 times
Been thanked: 61 times

Re: House Sold - The Deed is done

Post by Loiseau »

The two tax systems may not be at the same rate, so wouldn't you have to also declare the profit in the UK, but show HMRC how much tax you had paid in France? Then they could assess whether there was anything extra to pay or not.

I had owned my holiday home for so long that there was zero tax to pay in France, but I did have to pay UK tax on the profit. Luckily I had MASSES of 30-year-old artisan receipts to show, as we had had the crumbling hovel rebuilt. So those brought the imposable profit down a fair bit.

exile
Posts: 1586
Joined: Wed Mar 07, 2018 10:06 pm
Has thanked: 479 times
Been thanked: 520 times

Re: House Sold - The Deed is done

Post by exile »

landmannnn wrote:
Thu Feb 27, 2020 9:20 pm
Surely if you had made a profit it would have been taxed in France?
So based on no double taxation, it is a French tax affair, not a UK one.
He said he sold at a loss - I assume this means a Euro loss = no tax liability in France. But may have made a GBP profit, so tax may be due in the UK and no French tax to offset the gain. Not that it matters. You pay the same amount. It is just who gets the tax on gains.

exile
Posts: 1586
Joined: Wed Mar 07, 2018 10:06 pm
Has thanked: 479 times
Been thanked: 520 times

Re: House Sold - The Deed is done

Post by exile »

Just to add to my post. It occurs to me that my last statement could be wrong. I know that France only allows artisan bills for improvement against any notional gain. I think (and I admit to being out of touch) that the UK will allow all relevant bills against the CGT. So if you bought €2000 worth if tiles and laid them yourself, it contributes nothing in France but could be a cost to discount against in the UK - provided you still have the invoices of course.

User avatar
Nifty
Posts: 3535
Joined: Fri Mar 02, 2018 12:55 am
Has thanked: 420 times
Been thanked: 362 times

Re: House Sold - The Deed is done

Post by Nifty »

mysty wrote:
Wed Feb 26, 2020 7:37 pm
Napoleon wrote:
Tue Dec 17, 2019 7:00 pm
Good to read about someone recording a personal success. It follows closely our experience while buying a small piece of land adjacent to our house.
Alistair
It will all change again 2021.
What? And how ?

User avatar
mysty
Posts: 9788
Joined: Wed Feb 28, 2018 2:38 pm
Location: dep18 and 23
Has thanked: 802 times
Been thanked: 1302 times

Re: House Sold - The Deed is done

Post by mysty »

No idea yet the UK leaves at the end of the year, we will probably be under the same tax system as Americans.
mysty1 the new up to date user friendly version for an enhanced user experience

Online
niemeyjt
Posts: 1681
Joined: Fri Apr 13, 2018 6:10 pm
Location: Lausanne and Suffolk
Has thanked: 54 times
Been thanked: 483 times

Re: House Sold - The Deed is done

Post by niemeyjt »

bluebird wrote:
Thu Feb 27, 2020 9:03 pm
The HMRC online self assessment forms aren't that complicated now.
Having said that, personally, I wouldn't submit a self assessment return, merely to notify HMRC of a zero capital gains tax liability on a property sale. If you do opt to complete the form, (assuming you aren't already registered for self assessment) you may find, that you could end up having to submit a self assessment return every year there after. You shouldn't have any concern regarding a fine, if you don't have a tax liability to service.
Unless you expect to make a Capital Gain in UK that will be subject to CGT in due course. A loss can be carried forward and offset against a subsequent gain (unless that's something else George the Idiot ended) - in which case it might be worth declaring a loss.

User avatar
Nifty
Posts: 3535
Joined: Fri Mar 02, 2018 12:55 am
Has thanked: 420 times
Been thanked: 362 times

Re: House Sold - The Deed is done

Post by Nifty »

mysty wrote:
Fri Feb 28, 2020 6:50 am
No idea yet the UK leaves at the end of the year, we will probably be under the same tax system as Americans.
AFIAC that is an assumption.

Post Reply