Have our lodgers left us liable for capital gains tax now we want to sell?
My girlfriend and I purchased our house in North London eight years ago. It has four bedrooms and, since owning it, we rented out the other three rooms to friends and lodgers to help pay the mortgage. We paid £300,000 for the house and have been told by an estate agent we could potentially sell for £600,000 today. But we have also been warned that we may be liable to pay capital gains tax due to the fact we have been receiving rent from three lodgers - despite living in the property ourselves. Taxing times: Capital gains tax can be charged on any profits you make on an asset that has in...
Source: dailymail.co.uk