Question on Capital Gains Liability

[ArlingtonMan]

I bought a house last June and moved in directly from the flat we were living in. This has been my primary residence in Ireland for the last 15 years, and it is currently used occasionally. Since I didn't sell that flat before leaving, my question is, what would my CGT liability be if I were to sell it now ? An estate agent told me that because I didn't sell before purchasing the house that my PPR has now effectively changed and the proceeds of any sale would be liable to 33% CGT, however I don't think that is correct, but I don't know the rules.

 

[Joe_90]

PPR relief will apply to periods you occupied the house as you PPR plus the last 12 months of ownership.

So as long as you sell within 12 months of moving out PPR relief will exempt the gain.

 

[ArlingtonMan]

Thank Joe_90, what happens after the 12 months expires, is CGT applied according to some formula based on years of residence ?

 

[Joe_90]

Total period used as PPR + last 12 months / total period of ownership.