You do not pay Capital Gains Tax when you sell (or ‘dispose of’) your home if all of the following apply:
See Also
Tax on income and gains after death36 Month Rule Capital Gains Tax ExplainedHow Inheritance Tax works: thresholds, rules and allowancesCapital Gains Tax: what you pay it on, rates and allowances- you have one home and you’ve lived in it as your main home for all the time you’ve owned it
- you have not let part of it out - this does not include having a lodger
- you have not used a part of your home exclusively for business purposes (using a room as a temporary or occasional office does not count as exclusive business use)
- the grounds, including all buildings, are less than 5,000 square metres (just over an acre) in total
- you did not buy it just to make a gain
If all these apply you will automatically get a tax relief called Private Residence Relief and will have no tax to pay. If any of them apply, you may have some tax to pay.
Find out if you’re eligible for Private Residence Relief.
Married couples and civil partners can only count one property as their main home at any one time.
The rules are different if you sell property that’s not your home or if you live abroad.
