Hi Two years ago my wife and I wound up our failing business…

HICustomer/p>

Thanks for your question.

The house you inherited would not be due capital gains at the time of inheritance, but would need to be considered at the time of sale.

However as you have renovated the house in a timely fashion and moved into in Mach 2009, this will now from the date you inherited be treated as your main residence, and no capital gains will be due when and if you sell in the future.

Your original home, as sold to your daughter and her husband, as long as they paid market value on this house, you will have no capital gain to worry about, however if sold below market value, then a gain will be due on you at the time the sale took place. Your daughter and her husband will have no capital gain to worry about, now or any sale in the future

The old house of daughter and her husband that you purchased, will have capital gain to pay, when you come to sell it, as this is an outright second property that is not, and never has been your main residence.

Even if you rent it out, there will still be the same level of capital gains to pay as capital gains looks at sale price, less purchase price, less purchasing and selling fees, less major work/repairs/renovations - and whats left over is the amount on which capital gains is due.

Other than your annual exemption allowance which for this tax year is £10,100 (and if the property is in both you and your wifes name, you get an allowance each) then what is left over is charged to capital gains tax - and the rate of tax for this year is 18%

The only additional reliefs available are private residence relief, which you are not going to be due as you never lived in this property, and private lettings relief, as it isn't enough that you let out the property, you have to have lived in it also

Thanks

Sam