CG64565 - Private residence relief: job related accommodation: example: employee

W is a farm worker who has lived in a cottage provided by his employer on the farm since 1966. He has a licence to live there for as long as he is an employee.

In 1977 he acquired a house on the coast intending to occupy the property as his only or main residence on his retirement in 1989.

In June 1981 his circumstances changed and he decided that he no longer wanted to retire to the coast. He retained the property for a while but sold it in December 1986. W is entitled to relief on the disposal of the property from 30 July 1978 until June 1981. Because the property has qualified for relief at some time and the disposal was between 5 April 1980 and 18 March 1991 the final 24 months of ownership qualify for relief, see CG64985.

59 months out of the total period of ownership qualify for relief.

If the cottage was occupied under a tenancy and not under licence, then a timely notice of nomination as the main residence would have been required to ensure relief for those 59 months.