Tax advice of the week: Split property sales over two

If you want to save capital gains tax on property investments that you are unlikely to sell before the beginning of the new tax year, split the sale between the current and next tax years.

If you want to save capital gains tax (CGT) on property investments that you are unlikely to sell before the beginning of the new tax year, there are still tax planning opportunities to be had, says Tax Tips & Advice.

Take two properties jointly owned by a married couple, which were bought for £65,000 nearly 30 years ago and are now worth £320,000. Although the couple need the cash, they realise that a sale would "trigger a massive CGT bill". To minimise the bill, you can split the sale "between the current and next tax years" so that the couple can use two lots of annual exemptions.

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