If I sell a let property which was bought and has been let for over ten years and then reinvest the proceeds in another property, do I pay capital gains tax (CGT) on the sale even if all the money is reinvested in another property that is also let?
Arthur Weller replies:
Unfortunately, you do pay CGT on a gain from the sale, even though you are reinvesting in another property that is also let. Rollover relief is available for residential investment property only in the cases of (a) qualifying furnished holiday lettings, and (b) compulsory purchases.
This question was first printed in Tax Insider in August 2017.