188体育

The example at CG65113 was simplified by the fact that there was no non-residential use of the dwelling-house. One part of the gain was wholly relieved while the other was wholly chargeable. If there have been periods when the dwelling-house has not been its owner鈥檚 only or main residence the computation is a little more complicated.

D acquired a dwelling-house with four hectares of land in August 2012 for 拢150,000. She lived in it until October 2014 as her only residence. In that month she bought a second dwelling-house and began to live in it as well. She made a nomination under s222(5) TCGA92 in favour of the second residence within the time allowed (see CG64495). In November 2020 she sold her first residence together with its grounds for 拢400,000.

She agrees with the Valuation Office Agency that the permitted area should be one hectare and that the necessary apportionments should be:

Description	2012 (拢)	2020 (拢)
Dwelling-house and permitted area	130,000	300,000
Remainder	20,000	100,000
-	150,000	400,000

Her gain is computed as follows:-

Minus	Description	Dwelling-house and permitted area (拢)	Remainder (拢)
-	Disposal proceeds	300,000	100,000
less	cost	130,000	20,000
-	Gain	170,000	80,000

The gain arising on the land outside the permitted area is chargeable in full, but some relief is due on the dwelling-house and the permitted area.

Private residence relief

• Period of ownership is August 2012 - November 2020 = 100 months
• Period of only or main residence is August 2012 - October 2014 = 27 months
• Final period allowed by s223(2) TCGA92 = 9 months

The relief is 27 + 9 / 100 x 拢170,000 = 拢61,200

The chargeable gain will be 拢108,800 + 拢80,000 = 拢188,800 before the annual exempt amount.