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Oct 25, 2021

AAT calls for extension to capital gains reporting deadline

Ahead of this week's Budget, the Association of Accounting Technicians (AAT) has called on the Government to double the current 30-day reporting deadline for capital gains tax on residential property to 60 days.

The reporting requirement, which came into effect in April 2020, requires anyone with a reportable gain on UK residential property to report and pay any tax due within 30 days of selling it.

Previously, this needed to be reported via a self-assessment tax return following the tax year in which the property was sold, giving taxpayers a longer window of time in which to report.

The AAT is concerned that the 30-day deadline does not allow enough time for accountants to report on their clients' behalf, and that many clients are unaware that the requirement exists to begin with.

Phil Hall, head of public affairs and public policy at the AAT, said:

"Since this change came into effect last year, AAT has repeatedly highlighted its members' concerns ... with the unreasonable nature of this new 30-day reporting requirement.

"Although we're working with HMRC and other professional bodies to improve guidance in this area, we remain convinced that the most effective solution would be to double the reporting period from 30 to 60 days."

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