I lived with my partner for a number of years in a property which we owned jointly. When we split up, I bought a second home which became my main residence. My ex-partner remained in our joint home. I sold my second home after ten months because it was unsuitable for a number of reasons. I then bought my current home one month later, which needed renovating before I could move in. My ex-partner had moved out of our joint home by that time, so I was able to move back into it to put it on the market. It sold three months after I had bought my current home, which is now my only property. I made a gain on the sale of my second home and on my share of the proceeds of my jointly owned home. Am I liable to capital gains tax (CGT)? 

Arthur Weller replies:  

From what you write, it appears you lived in your second home as your main residence all the period of your ownership (i.e., the entire ten months). If so, there can be no CGT to pay because all the capital gain is covered by principal private residence (PPR) relief. However, as for your first, jointly owned home, it appears that you were absent from it for eleven months. The rules from 6 April 2023 state that where one spouse moves out of the matrimonial home but retains partial ownership in it, then when it is eventually sold they can claim PPR relief on its eventual sale. This is on the proviso that PPR relief is not claimed for any other property for that same period. So, it seems that you will have to choose which property you want to claim PPR relief for.