What is the final period exemption?

The last 9 months of ownership qualify for PRR if the property was your main residence at any time, even if you were not living there.

Does PRR cover a home office?

Yes, unless a room was used exclusively for business; occasional work use does not restrict relief.

Can I get PRR on two homes?

Only one property at a time, though you can nominate which one when you have two residences.

Private Residence Relief explained

PRR (TCGA 1992 ss.222–226) exempts the gain on your only or main home. If you lived elsewhere for part of the ownership, relief is time-apportioned.

Updated for the 2026/27 tax year · Reviewed against HMRC guidance

Final period

9 months

Grounds limit

0.5 hectare

Disabled/care

36 months

Full relief

If the property was your only or main residence throughout ownership, was not used exclusively for business, and the garden is within 0.5 hectares, the whole gain is exempt and nothing needs reporting.

Partial relief formula

Relief = Gain × (months of actual and deemed occupation ÷ total months of ownership). Deemed occupation always includes the last 9 months (36 months if you moved into care or are disabled).

Deemed occupation for absences

Provided you lived there before and after the absence, these periods also qualify:

Up to 3 years for any reason
Up to 4 years where your work required you to live elsewhere in the UK
Any period of employment abroad

Frequently asked questions

This guide is general information based on the Taxation of Chargeable Gains Act 1992 and HMRC guidance (including HS283). It is not personal tax advice — for complex cases speak to a qualified tax adviser.