CG65680 - Private residence relief: dependent relative: at 5/4/88: sole residence
D acquired a dwelling house in June 1985 and sold it in December
1992 realising a gain of £50,000 before relief. The house was
provided rent-free and without any other consideration as the sole
residence of D's widowed mother from 1 June 1985 to 1 October 1989
when she died.
The private residence relief due under TCGA92/S226 is
computed as follows
- period of ownership June 1985 - December 1992 = 91 months
- period of sole residence of dependent relative
June 1985 - October 1989 = 53 months
- final period allowed by TCGA92/S223 (2) = 36 months
| The relief due is | 53+36 | x | 50,000 | = | 48,902 |
| 91 |
The chargeable gain is £1,098 before annual exempt amount.
