½Û×ÓÊÓƵ

Principal private residence relief ― dwelling-house and permitted area

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance

Principal private residence relief ― dwelling-house and permitted area

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance
imgtext

Principal private residence (PPR) relief is available to reduce the chargeable gains on the disposal of (or disposal of an interest in):

  1. •

    a ‘dwelling-house’ or part of a dwelling-house which is or has at any time in the period of ownership been the taxpayer’s only or main residence, or

  2. •

    land they have for their own occupation and enjoyment with that residence as its garden or grounds up to the ‘permitted area’

TCGA 1992, s 222(1)

It is possible for a taxpayer to have more than one residence. In these circumstances, the taxpayer has two years from the acquisition of the second residence to nominate which is to be the main residence for PPR relief. The nomination can be varied at a later date. If no nomination is made the main residence is determined based on the facts, although there are ways of reopening the nomination period. For more detail, see the Principal private residence relief ― more than one residence guidance note.

HMRC has not given any guidance

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+â„¢
Powered by
  • 08 May 2024 11:00

Popular Articles

Trade or hobby

Trade or hobbyInteraction of hobby farming rules and commercialityFarming has its own set of ‘hobby farming rules’, which historically have stated that a profit must be made every six years. This is known as ‘the five-year rule’, in that there can be five years of losses but there must be a profit

14 Jul 2020 13:50 | Produced by Tolley Read more Read more

Gifts with reservation ― overview

Gifts with reservation ― overviewIntroductionA gift with reservation (GWR) arises when an individual ostensibly makes a gift of his property to another person but retains for himself some or all of the benefit of owning the property. The legislation defines a gift with reservation with reference to

14 Jul 2020 11:48 | Produced by Tolley Read more Read more

Self assessment ― estimates and provisional figures

Self assessment ― estimates and provisional figuresIf the taxpayer does not have sufficient information to enable them to complete the tax return in the time allowed, they should include either a best estimate or a provisional figure. The taxpayer should not either leave a box blank or enter

14 Jul 2020 13:37 | Produced by Tolley Read more Read more