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Changes to principle Private Residence Relief and Lettings Relief could be costly for homeowners

Under current legislation, a property that is, or has in the past been an owner’s only or main residence, qualifies for Private Residence Relief (PPR) on the last 18 months before disposal. This relief protects the owner from any capital gains tax that may be accrued during this time, regardless of whether they are currently in residence, and allows for the time taken to sell and move house. But, as from 6 April 2020 this relief time is being reduced to only 9 months. The result is that an owner will be subject to an additional 9 months of capital gains taxes, should the property no longer be occupied by them during that period. Although many feel that this period is not lengthy enough, th

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