Personal Tax - PPR

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NickyW
NickyW Registered Posts: 97 Regular contributor ⭐
in AAT Level 4 (Level 8 in Scotland)
Hi there
Is there anyone out there who can help me?
In June 08 Task 2.1,
the answer states that from
1Jan 98 - 31 Dec 02 60 months occupied
1 Jan 03 - 31 May 06 41 not occupied
1 June 06 - 1 June 09 36 months occupied.

Therefore 96/137 months are occupied.
I understand that the last 36 months are always considered occupied. But I also thought that you could have another 36 months for any reason.
Therefore for the 41 not occupied, I would have had it at 41-36 = 5 months.
Am I making sense!!
Nicky

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  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
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    Has the personal tax rule changed?

    If not, then I would agree with you.

    You can only invoke the '36 months for any reason' rule if after the 36 months the individual goes back to occupying their principal residence.

    In this case it does seem as if the individual does go back to their principal residence after the 41 months, therefore they should be allowed another 36 months relief. Are you sure the individual goes back after the 41 months? Or is the last 36 months using the 'last 36 month rule'?
  • NickyW
    NickyW Registered Posts: 97 Regular contributor ⭐
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    reader wrote: »
    Or is the last 36 months using the 'last 36 month rule'?

    Yes itI is - she wasn't actually occupying it. I understand it now - so there has to be a period of occupation after for that 36 months to be allowed.

    Thanks
    Nicky
  • jojoscottison
    jojoscottison Registered Posts: 21 New contributor 🐸
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    NickyW wrote: »
    Yes itI is - she wasn't actually occupying it. I understand it now - so there has to be a period of occupation after for that 36 months to be allowed.

    Thanks
    Nicky

    still puzzled,what do you mean by occupying?
    I still have my PTC to do on Friday, so want to get a better idea of this PPR.
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
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    occupying in this situation means "living in"

    so if someone is occupying their principal residence they are "living in" their main home

    so you can only use the "36 months of relief for any reason rule" if after the 36 months of absence the person moves back into their principal property.

    if that person doesn't move back in you can't use those 36 months to generate a relief on capital gains on disposal of principal property.

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