Principal residence relief and the period of ownership
In D Higgins v HMRC [2019] EWCA Civ 1860 (4 November 2019) the Court of Appeal found that for the purpose of principal residence relief (TCGA 1992 s 222) the period of ownership only started on completion of the purchase of the property.
Mr Higgins had purchased an apartment off plan in a development of the former St Pancras Station Hotel in London. He had entered into a contract in October 2006. At that time the 10% reservation deposit had been paid and a further deposit was payable on 1 March 2007. The balance was payable on completion.
The development was delayed by the credit crunch in 2008 which caused the seller to seek alternative finance. Work only began on the apartment in November 2009 and it was substantially completed in December 2009. Completion of the contract took place...
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Principal residence relief and the period of ownership
In D Higgins v HMRC [2019] EWCA Civ 1860 (4 November 2019) the Court of Appeal found that for the purpose of principal residence relief (TCGA 1992 s 222) the period of ownership only started on completion of the purchase of the property.
Mr Higgins had purchased an apartment off plan in a development of the former St Pancras Station Hotel in London. He had entered into a contract in October 2006. At that time the 10% reservation deposit had been paid and a further deposit was payable on 1 March 2007. The balance was payable on completion.
The development was delayed by the credit crunch in 2008 which caused the seller to seek alternative finance. Work only began on the apartment in November 2009 and it was substantially completed in December 2009. Completion of the contract took place...
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
