CG-APP18-210 - Part 2 - Submitting returns through the CGT on UK Property Account: Introduction

2.1. Introduction

Part 1 of the guidance sets out how all users access the Capital Gains Tax (CGT) on UK Property Account and check that they should be using the account to report details of property disposals and pay the CGT notionally chargeable.

By notionally chargeable, here we mean the amount of CGT due in-year on the property disposals to which this account relates as opposed to the full amount of CGT chargeable for the Tax Year. More detail is provided in section 2.2.5.

This section of the guidance specifically sets out how users should complete their online property returns for UK residents and how the CGT notionally chargeable is calculated for their property disposals. Where this section of guidance refers to a return or the return it is referring to the property return submitted through the CGT on Property Account, any references to other returns will be clearly indicated, such as a Self Assessment return.

It is only possible to have one draft return in progress at a time in the Capital Gains Tax on UK Property Account

Firstly, the guidance sets out an example computation to demonstrate the information required to calculate the CGT notionally chargeable.

Then this part of the guidance goes on to cover the details that the user is required to provide in their return in the section titled 2.3 Before you start, 2.4 Provide details, and 2.5 Report and Pay the tax. This is intended as a general guide to the information for UK residents to provide through the account, the order and precise wording of the questions the user will see will depend upon the information entered and selected by the user.

Where possible from the details entered, the account provides a calculation.

The user is then able to upload any supporting documentation, submit their return and pay the tax through the CGT on UK Property Account.

As highlighted above this part of the guidance is specifically directed at UK residents. For a non-UK resident (including split year cases where the person is UK resident but the disposal is in the overseas part of a split year) other guidance including the computational rules for gains are in the main part of the Capital Gains Manual see CG73920 onwards.

The guidance at 2.6 covers some of the more common miscellaneous and complex areas where the general guidance requires expansion. This includes how to report:

  • Multiple disposals in the same tax year with the same completion date, see 2.6.1 and 2.6.2
  • Transactions involving mixed use properties, see 2.6.3
  • Transactions with multiple acquisition dates/ acquired by instalment, see 2.6.4
  • Transactions for individuals with chargeable event gains, see 2.6.5
  • Transactions for which Business Asset Disposal Relief may apply, see 2.6.6.