[Rachel231]

I am a dual US/UK citizen resident in UK.
In 2014 I plan to sell my UK home and move back to the US (after a long absence). Can anyone tell me whether I pay CGT i the UK or in the US -- or in both countries?
Is there any double taxation agreement that is relevant.
Will it make any difference to the CGT situation if I move back to the US in 2015 rather than immediately after the sale in 2014?

 

[Newforestcat]

There is usually no UK CGT on your main home. If your home has lots of acres then, you may need to pay some. I know this as I was advised by a HMRC tax technician.

If CGT on your main home is normally the case in the US, then it pays to investigate carefully. Try hmrc.gov.uk and look for 'UK-USA double taxation'. If all fails, I think a US-based accountant who specialises in international taxes might be what you need as CGT and double taxation are not something that non-professionals really know much about.

 

[Bevdeforges]

As a US citizen, you always have to declare your income - including capital gains - but there is definitely a tax treaty between the US and UK, so you shouldn't have any double taxation.

As long as the house you are selling is your primary residence, you have an automatic exemption on the first $250,000 of gain, assuming you are single (or married to an NRA and filing separately).

IRS publication 523 on the sale of your home. And Publication 54 on taxation of overseas residents.
Cheers,
Bev

 

[seasoar]

There is usually no UK CGT on your main home. If your home has lots of acres then, you may need to pay some. I know this as I was advised by a HMRC tax technician.

If CGT on your main home is normally the case in the US, then it pays to investigate carefully. Try hmrc.gov.uk and look for 'UK-USA double taxation'. If all fails, I think a US-based accountant who specialises in international taxes might be what you need as CGT and double taxation are not something that non-professionals really know much about.

1st 250,000 free of cgt in USA when selling uk ppr property.