Capital Gains Tax at time of marriage

Bookworm105

Madeinireland101 said:

If they then move into what was his rental property for a while  wouldn’t that then become their primary residence enabling them to sell it eventually with no CGT to pay prior to moving into their final house? Or perhaps he would have CGT to pay for the period it was rented out minus 9 months?

Thanks

No, you seem to have missed the fact that CGT liability is based on the proportion of ownership time that it either was or was not the main home
he has owned the rental place for a lot longer than he has ever lived in it as his (and marital) main home.

CGT is based on its total gain in value over his entire ownership period, no escaping that. CGT "main home" relief will apply to only part of his ownership period, so, subject to the actual numbers involved, he will owe CGT when it sells 

BarelySentientAI

Madeinireland101 said:

So if she sells the house I’m hearing that she would have no CGT to pay. If they then move into what was his rental property for a while  wouldn’t that then become their primary residence enabling them to sell it eventually with no CGT to pay prior to moving into their final house? Or perhaps he would have CGT to pay for the period it was rented out minus 9 months?

Sort of.

If she sells the house that she has always lived in as her primary residence, then she will have no CGT for that sale because the relief (reduction) would be 100%.

CGT is a bit confusing to many people, because the price rise (the 'Capital Gain') is based on all the time you have owned it - so even if the price didn't rise when it was rented, if it then rose when they lived there it would still count for CGT - but how much relief (reduction) in the CGT is based on what proportion of the time it was the primary residence.