Principal Private Residence

jodyewhite

Hi

I am struggling to remember the rules for working out the periods of deemed occupation, and the working for the chargeable gain.
I know that for the exempt gain we use
Total gain x period of occupation/total period of ownership.
Any help appreciated thanks.

Bertie

Just a quick reply as I'm quite busy.

Proceeds from sale A
Less costs (B)

Gain = A - B = C

Gain C
Less PPR = (D)

Chargeable gain = C - (D)

PPR =

i) Last 18 months ownership

ii) Upto 3 years any reason

iii) Any period spent working overseas due to employment

iv) 4 years working in the UK.

So, Gain x Deemed / Total = PPR relief.

(Deemed and total are counted in months)

Note:

Conditions ii/iii/iv need to be preceded and followed by actual occupation.

Also note

iii/iv Do not need to satisfy the above condition if the person is required by their employer to work elsewhere immediately.

HTH

jodyewhite

Many thanks Bertie for your help.