Table of Contents
Capital Gains Tax
When selling a property, you will be subject to Capital Gains Tax (CGT). CGT applies to any profit made from the sale of an asset, including property. However, if you make a loss, you may be eligible for relief from Capital Gains Tax.
Loss Relief
If you make a loss on the sale of a property, you may be able to claim relief from CGT. Loss relief can be claimed to offset any gains when you are selling a property at a loss. The amount of relief you can claim is dependent on the type of property you are selling and your individual circumstances.
Inheritance Tax
If you are selling a property that has been inherited, you may be subject to Inheritance Tax. This is a tax on the transfer of assets when someone dies. If you are selling an inherited property at a loss, you may be able to claim relief from Inheritance Tax.
Stamp Duty Land Tax
When you sell a property, you may be liable to pay Stamp Duty Land Tax (SDLT). This is a tax on the transfer of property from one owner to another. If you sell a property at a loss, you may be eligible for relief from SDLT.
Seeking Professional Advice
It is important to seek professional advice when selling a property at a loss. A qualified tax adviser can help you to understand the tax consequences of selling a property at a loss and advise you on any reliefs you may be eligible for.
