Capital gains tax
I practise in a rural area and own some agricultural land. The local authority has bought some of it to build a road. I am liable for £10,000 in capital gains tax (CGT). If I bought more land to replace what I sold, could I reclaim some of the CGT and is there a time frame for doing so?
If you farm the land and are reinvesting in land that will be used in this trade, you can defer CGT on the disposal by claiming roll-over relief. You must acquire the land either within one year before or three years after disposing of the old land.
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