Capital Gains Tax Valuations Epsom London
Here at Blackacre, we are a multi-disciplinary firm of Chartered Building Surveyors, providing a wide range of professional services. Capital Gains Tax Valuations Epsom London.
Do you have an asset or investment you are looking to sell? You are likely concerned about what is done with the gain from the sale. In this article, you will learn what a Capital Gains Tax Valuations Epsom London, and what the valuation involves.
What Is Capital Gains Tax?
This is simply the tax that’s levied on the profit from the sale of your assets or real estate. The tax is paid for the year in which the real estate or property was sold. Capital gains taxes are due only after the asset has been sold. These taxes only apply to things like stocks, bonds, coin collections or real estate.
What Is Capital Gains Tax Valuations Epsom London?
If you have an asset that is subject to capital gains tax, then you would need a valuation before selling it. The Inland Revenue office would require a valuation report. This is mostly the case where the asset or property is not your principal residence.
Circumstances That Require A Capital Gains Tax Valuation
A valuation would be required in the following examples:
- If the property or asset was sold at market value which benefits the owner of the asset.
- If the property or asset was inherited by a family member
- If the property you’re selling is an inherited one
- If the asset or property became yours through a gift
- If the property is a very large one
- If the property has been used for business that makes gains for you
- Finally, if the asset comes into ownership before 31 March 1982.
How Much Will Be Paid As Capital Gains?
What you pay as tax depends on your tax bracket. Basic tax rate payers are required to pay 18% capital gains tax. People in higher tax brackets pay higher, 28% capital gains tax on assets that are taxable.
What Does Capital Gains Tax Valuations Epsom London Involve?
You should aim to have a professional valuer do the job because it involves your tax liability assessment. A lot goes into the process of valuation. They are as follows:
- The valuer visits the site of the asset. He wants to see inside and outside of it
- He would take photographs and measure the asset or property
- He will research and compare the asset with others in the market
- The valuer would prepare a detailed report
- Finally the valuer would meet with your accountants, lawyers to examine how the valuation meets your circumstances
It is important that you get the whole process right the first time around because it can be a complex one. You’d need to involve your accountant and lawyer if need be to make the process more comprehensible to you.
If you have just inherited or acquired a new property, be quick to reach out to professional valuers to help you make an accurate report on the value of the asset. Bear in mind that not all assets require a tax to be paid. This article will help you make a distinction, guiding you in making all the way through the process of Capital Gains Tax Valuations Epsom London.