Redz Posted November 5, 2014 Share Posted November 5, 2014 (edited) You lot are clever....... What's the tax liability as a farmer if you sell land for development? Edited November 5, 2014 by Redz Quote Link to comment Share on other sites More sharing options...
Ally Bongo Posted November 5, 2014 Share Posted November 5, 2014 http://www.shropshirestar.com/farming/2013/09/06/landowners-beware-land-sale-tax-implications/ http://www.hmrc.gov.uk/cgt/property/basics.htm http://www.hmrc.gov.uk/cgt/property/reliefs.htm#2 http://www.henmansfreeth.co.uk/the_tax_implications_of_selling_developed_land.pdf That will get you started Then call HMRC and ask to speak to a technician Quote Link to comment Share on other sites More sharing options...
euan2020 Posted November 6, 2014 Share Posted November 6, 2014 You lot are clever....... What's the tax liability as a farmer if you sell land for development? loosely from top of my head depends if was zoned previously - neighbours sold land 20 years ago and were due large Capital Gains Tax - my dad remembered it had been zoned 10-15 years previously so indexation started from 81 and their liability was reduced Also I think is a question if you reinvest the money back in to farming - if you do this I beleive you can avoid taxes - further benefit is that years down the road, no inheritance tax on farming business Above - why you will notice farmers living close to towns whose land is deveoloped going out and buying new farms at bigger acreage. My father passed intestate in 2010 but we didnt have any Inheritance Tax liablity due to being 2 working farms Not related to above - presently at the moment i receive 92% of what i earn between my pocket and pension deposits (salaried) so i do like taking an interest in tax Quote Link to comment Share on other sites More sharing options...
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