Changes to capital gains tax rules on private residences

Key points

• Main residence final period of exemption to be reduced to nine months.
• Restrictions to lettings relief.
• Job-related accommodation relief is to be extended.
• Two extra-statutory concessions are to be legislated.
• Changed rules on the transfer of a residential property between spouses or civil partners could have significant implications.

Over the past few months I have received several emails from various firms reminding me of the forthcoming changes to the capital gains tax rules on only or main residences. These all seem to concentrate on two aspects:

• the reduction in the exempt final period of ownership from 18 to nine months; and
• the change to the potential £40 000 lettings relief whereby this will be available only if the owner continues to live...