Gains on the disposal of all UK-situated real property owned by non-UK residents are within the scope of UK tax, as are gains on the sale of some interests in ‘property rich’ companies. Two main changes to take note of are the extensions to the type of property and the type of disposal. You may have to pay Capital Gains Tax even if your asset is overseas. After you’ve done this we’ll email you a payment reference and details of how to pay. We’ll send you a link to a feedback form. If you made the disposal before 6 April 2019 you’ll also: Email: non-residentcgt.spt@hmrc.gov.uk to give HMRC limited authorisation to deal directly with your agent or adviser. We are not advisers ourselves, however all the advisers we work with are fully regulated by the appropriate authorities. Save what resonates, curate a library of information, and share content with your network of contacts. If you do not meet the temporary non-resident rules, there will not be an additional UK Capital Gains Tax charge for the earlier disposal when you return to the UK. Making a transparency election eliminates commercial concerns of investors suffering a discount for latent capital gains where CIVs are disposed of and also allows investors in the CIV to benefit from any exemptions that they may be entitled to. You will not receive KPMG subscription messages until you agree to the new policy. {{vm.newUser2}} How long will it take me to sell my business? If you are registered with HMRC for Self Assessment, you must still complete an NRCGT return separately. We have created this Capital Gains Tax calculator for the tax year 2020/21 to help you understand how much capital gains tax you may have to pay if you sell or have sold your property or shares in the tax year 2020/21. How much will you need to pay? Check your bank’s transaction limits and processing times before making a payment. Take part in our research to help improve GOV.UK. What changes were brought into effect on the 6th of April 2019? 5 0 Hi there, I'm a UK Non-resident with a job overseas and do not intend to return to the UK within 5 years of my leaving date. For any period over 6 months, an additional penalty of £300 or 5% of any tax due is charged, whichever is greater. Is it a good idea to buy a property within my company? Chocobiscuit UKBF Newcomer Free Member. What is meant by direct and indirect disposals? From 6 April 2020 you need to report and pay your non-resident Capital Gains Tax using the Capital Gains Tax on UK property service if you’ve sold or disposed of: A ‘mixed use’ property is one that has both residential and non-residential elements. This guide has been amended for the 2019 to 2020 tax year. E14 5HP What is Annual Tax on Enveloped Dwellings (ATED)? You can change your cookie settings at any time. What is the Seed Enterprise Investment Scheme (SEIS)? A CIV will be treated as property rich where a disposal of an interest in that CIV would be treated as a disposal of a UK property rich asset, deriving 75% or more of its value from UK property. We’ll send you a link to a feedback form. My experience was excellent. We expect that such valuation evidence will be important in the case of a future challenge from HMRC and/or in the case of a due diligence where a property rich entity is disposed (e.g. For properties that are disposed of up to 5 April 2020 you must complete a separate online non-resident Capital Gains Tax return for each disposal, and any amendments you make. ATED-related Capital Gains Tax will no longer apply to disposals made from 6 April 2019. When you report a disposal, you need to include a computation of your gains and losses along with your return You must report and pay non-resident Capital Gains Tax if you’re a: You must report and pay within 30 days of completion of conveyance. Non-resident companies will be subject to corporation tax at 19% (17% from April 2020). You’ll need to work out what you need to pay if you’ve sold or disposed of either: You can use the non-resident Capital Gains Tax calculator if you’re a non-UK resident individual who’s sold or given away your entire share of a UK residential property. UK Non Resident Tax Summary. Depending on the asset, you may be able to reduce any tax you pay by claiming a relief. Don’t worry we won’t send you spam or share your email address with anyone. © Hillier Hopkins LLP. How do Enterprise Management Incentives (EMI) work? when negotiating a latent capital gains tax discount with a future purchaser). Disclaimer: No information on this site constitutes advice or a personal recommendation in any way whatsoever. We will not contact you for any other purpose, or pass your details to anybody else. You’ve accepted all cookies. All content is available under the Open Government Licence v3.0, except where otherwise stated, National restrictions in England from 5 November, let it out, used it for business or it’s very large, check if you have to pay Capital Gains Tax, Capital Gains Tax on personal possessions, Tell HMRC about Capital Gains Tax on UK property or land if you’re non-resident, Coronavirus (COVID-19): guidance and support, Transparency and freedom of information releases.