Capital Gains Tax Act 1979 (repealed 6.3.1992)

102 Amount of relief. U.K.

(1) No part of a gain to which section 101 above applies shall be a chargeable gain if the dwelling-house or part of a dwelling-house has been the individual’s only or main residence throughout the period of ownership, or throughout the period of ownership except for all or any part of the last [F1 twenty-four months] of that period.

(2) Where subsection (1) above does not apply, a fraction of the gain shall not be a chargeable gain, and that fraction shall be—

(a) the length of the part or parts of the period of ownership during which the dwelling-house or the part of the dwelling-house was the individual’s only or main residence, but inclusive of the last [F1 twenty-four months] of the period of ownership in any event, divided by

(b) the length of the period of ownership.

(3) For the purposes of subsections (1) and (2) above—

(a) a period of absence not exceeding three years (or periods of absence which together did not exceed three years), and in addition

(b) any period of absence throughout which the individual worked in an employment or office all the duties of which were performed outside the United Kingdom, and in addition

(c) any period of absence not exceeding four years (or periods of absence which together did not exceed four years) throughout which the individual was prevented from residing in the dwelling-house or part of the dwelling-house in consequence of the situation of his place of work or in consequence of any condition imposed by his employer requiring him to reside elsewhere, being a condition reasonably imposed to secure the effective performance by the employee of his duties,

shall be treated as if in that period of absence the dwelling-house or the part of the dwelling-house was the individual’s only or main residence if both before and after the period there was a time when the dwelling-house was the individual’s only or main residence.

In this subsection “period of absence” means a period during which the dwelling-house or the part of the dwelling-house was not the individual’s only or main residence and throughout which he had no residence or main residence eligible for relief under this section.

(4) In this section “period of ownership” does not include any period before 6th April 1965.

Textual Amendments

F1 Words substituted by Finance Act 1980 (c. 48, SIF 63:1), s. 80(2) in relation to disposals after 5 April 1980

Modifications etc. (not altering text)

C1 Where Finance Act 1988 (c. 39, SIF 63;1, 2), s. 96 and Sch. 8 para. 8 apply (rebasing to 1982), words “6th April 1965” replaced by “31st March 1982”