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Posted Sun, 10 Sep 2023 18:53:26 GMT by
I bought my property in 2011, I lived there for a few years and then rented it out in Jan 2016 - July 2019, I then moved back in and still live in the property now. I am now looking to either sell or rent the property and trying to understand my position when it comes to capital gains tax. I am unsure about whether the rental period is eligible for private residence relief or not. I completed the below assessment, I have only ever owned this one property, the grounds are not bigger than 5,000 square metres, the assessment states that I do not need to include the time when I lived away because it was for work for less than 4 years. So I initially thought I was except from having to pay capital gains tax, but then question 4 asks if I let out any part of the property, I did let out all of the property. Therefore this would suggest that I do need to pay capital gains tax for the rental period of 3.5 years? Or do I not need to because rental period is except because it was less than 4 years and I lived away for work? https://www.gov.uk/tax-relief-selling-home
Posted Mon, 18 Sep 2023 14:44:18 GMT by HMRC Admin 19 Response
Hi,

Private Residence Relief is available for up to 4 years if, during that period, you had to live elsewhere for work related reasons. So, based on the information you have provided, you would not be liable to Capital Gains Tax on the sale of your home. You can see guidance here:                       

Tax when you sell your home

Thnak you

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