Selling a UK Property

If you sell your home in the tax year you become non-resident, any capital gain may come within the scope of UK tax, even if the sale takes place after you have become non-resident.

However, if you have - or are deemed to have - occupied the property as your main residence to within three years of the date of sale, the gain is fully exempt. You are entitled to full relief to the extent that your house was used as your only or main residence during the whole period of ownsership.

The final 36 months of your period of ownership always qualify for relief if the house has ever been your only or main residence, and some other periods when you were not using the house as your only or main residence will also still qualify for relief. You should therefore contact a tax advisor if you are uncertain about whether you will qualify for full relief due to periods of absence from the property.

This document has been prepared as at April 2006. Income tax legislation and administrative practices may change, and this document should be regarded as a summary guide rather than as a substitute for consultation with a professional tax advisor.