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Louise and her family had lived in their Surrey home for nearly twenty years, with a large garden that backed onto open countryside. As her children grew up and moved out, she realised they no longer needed such a big outdoor space.
Around the same time, a local developer expressed interest in purchasing a section of the garden to create a single residential plot. Although the house itself was her main residence, Louise wasn’t sure whether selling part of the land would automatically be covered by Private Residence Relief — or whether Capital Gains Tax might apply.
Wanting to avoid assumptions and surprises, she came to the Tax Faculty for clarity and support before agreeing to the sale.
Louise, Surrey: Selling off Land Attached to Home
1. What made you reach out before agreeing to sell the land?
Louise: “I’d heard different things from neighbours — some said there would be no tax because it was part of my home, others said I’d get a big Capital Gains Tax bill. I really didn’t want to rely on hearsay. The more people I spoke to, the more in a muddle I found myself. Before signing anything, I wanted to know exactly where I stood.”
2. How did the Tax Faculty help you understand whether the sale qualified for relief?
Louise: “They asked the right questions — how we used the land, whether it had been fenced or separated, what the access was like, things I wouldn’t have realised were relevant. They explained how Private Residence Relief works and why part of the garden might qualify while part might not. It was incredibly helpful to have it spelled out clearly.”
3. Did anything about the tax rules surprise you?
Louise: “Yes — I didn’t realise timing mattered so much. They made me aware that how the land was sold and whether it was tied in with the main property could affect the relief available. Knowing that helped me take control and negotiate the sale in a way that was more tax-efficient. I would never have known how to do that on my own.”
4. Did the Tax Faculty help you understand the impact on your family?
Louise: “Absolutely. They made sure I understood how the sale could affect future inheritance planning and what it might mean for my children down the line. It wasn’t just about the tax bill today — they helped me see the bigger picture, which made me feel like we were making the right decision for the whole family.”
5. How do you feel now that everything is complete?
Louise: “Relieved — and confident that we handled it properly. There’s no lingering worry that I've rushed through it and that something might come back to haunt me later. I genuinely felt they treated my situation with care.
Q&A Selling off Land Attached to a Family Home
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If you are thinking of selling a property or any other asset and want to make sure you are not paying more CGT than you need to, contact us today for a free consultation. We can help you navigate the complexities of CGT and ensure that once a property has sold that all filing is completed within the 60-day time limit.
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