The HMRC Capital Gains Tax Return Reporting Service is now here
General outline
As you may be aware, following the Finance Act 2019, the new Capital Gains Tax Return Reporting regime came into being on 6th April 2020.
UK resident taxpayers, including Trusts and Personal Representatives, who make taxable gains following a disposal of a UK residential property, have to submit a Capital Gains Tax Return within 30 days following the completion date (the date title is conveyed, not the exchange of contract date), calculate a reasonable estimate of the tax due and pay it over within the same time period otherwise interest and penalties will ensue.
Non-UK resident taxpayers will need to do the same but in respect of both UK residential property and UK non-residential property and land, irrespective of whether there is a taxable gain arising from the disposal.
What should property owners do now?
In order for you to be able to access this Capital Gains Tax Return Service property owners need to do the following:
- The owner needs to set up a Capital Gains Tax on UK property account. You can do this by clicking on ‘Start’ in the link below:
- Once you have clicked on ‘Start’ you will need your Government Gateway User ID and password. If you haven’t got a Government Gateway User ID you will need to set one up which will obviously delay things further.
- Once you have put those details through, you will be texted an access code. Enter that access code and it will take you through to the Capital Gains Tax Service page.
- You then need to click on ‘Create an account’. This will generate an account number (12 digits).
Why get everything ready now?
Do you really want to leave everything to chance with such a tight turnaround with penalties and interest charges hanging over proceedings?