CGT Interest

[Pantheman]

Hello Louise,

I wanted to ask you this question before I went back down to the tax office and got myself arrested.

I sold a piece of land, the buyer had a contract of sale that stated within 60 days we will complete. We subsequently went to the tax office filled in all the forms for them to tell us how much tax to pay.

We later returned some 2-3 weeks later to pay the tax (and that was Cy£26k) and then they proceeded to charge us an additional 350 euros of interest. When we asked why they claimed it was the interest since we hadn't completed when we signed the original contract in Feb.

We asked what law was this, they couldn't tell us, we asked where was this displayed, they said it wasn't, we asked why we were not informed when we first came, they had no excuse.

My question is, is there such a law that enables them to charge this interest?? As the sale was not made, and still isn't yet, they were not due the tax until it is. I am confused about this as it makes the contract of sale farcicle.

can you shed any light on this, as I want to go back and have it out with them, purely on principle.

Cheers

Pan

[louisez]

Sorry been so very long in replying. Interest can only be charged from when asessed and not from the date of the contract.