HM Revenue & Customs has issued a reminder to property owners about capital gains tax, with anyone wishing to sell urged to take heed of the new rules.
In an update published today (March 13) HMRC cautioned property owners on rule changes set to come into force next month, which will require a UK resident selling a residential property to tell the taxman about the sale within 30 days.
Any money owed on the sale will also be payable in the 30-day deadline, which will take effect from April 6.
HMRC is set to launch a new online service to pay capital gains tax and non-UK residents will also be required to tell the taxman about a residential or non-residential property sales within 30 days, regardless of whether there is tax to pay or not.
Sellers in this demographic will no longer to be able to defer payment via their self-assessment return.
Sarah Kelsey, deputy director at HMRC, said: "We want to help customers know exactly what they need to do, as it’s really important that everyone involved with the sale of a residential property fully understands the changes.
"People don’t usually have to pay capital gains tax if they sell the house they live in, but this is a significant change for customers who do have to pay the tax and who up to this point would include the gain in their self-assessment return.
"There will be lots of help and guidance available to individuals and agents, or those representing trusts, and we are providing a new online service to make it easier for all our customers to both notify and pay online within 30 days."
HMRC warned if sellers failed to declare capital gains tax within the 30-day deadline they could face a penalty and be liable for any interest owed on the payment.
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