Capitla Gains Tax PPR Osborne yr 8/9 ques. 7.3

Can anyone tell me why the last 4 years 1.1.05-31.12.08 when the house in quesiton was rented out are deemed as PPR, I thought this was limited to 3 years and falls under the qualification ' because the house had been a PPR sometime during it's ownership'
thanks all


  • Marg22
    Marg22 Registered Posts: 84 💫 🐯 💫
    yes you are perfectly right. If an house has been used as a ppr during ownership then the last three years are deemed as ppr. Because there are 4 years at the end of ownership 1 year must be subject to capital gains tax.

    In this particular scenario Christine went on holiday around the world for two years and had ppr period before and after, so the two years fall under the rules and are allowable as ppr.

    The rules state that provided you have ppr before and after that:-

    An extra three years is allowable in addition to the 3 years deemed occupancy at the end of the ownerhip for any reason.

    An extra 4 years for uk employment.

    Any length of time for working abroad.

    Reading pages 7.2-7.4 will help you to memorise the rules.

    Kind Regards

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