Private Residence Relief 2026
Private Residence Relief (PRR) exempts gains on your main home from Capital Gains Tax.
Basic Rule
If the property has been your only or main residence throughout ownership:
- 100% exempt from CGT
- No reporting required
Partial Relief
PRR is reduced if:
- You didn't live there the whole time
- Part was used exclusively for business
- Part was let out
- You have another main home
Periods of Absence
Certain absences are treated as occupation:
| Absence Type | Max Period | Conditions |
|---|---|---|
| Any reason | 36 months | Must live there before and after |
| Working elsewhere in UK | Unlimited | Employer requirement |
| Working abroad | Unlimited | Employer requirement |
| Final period | 9 months | Automatic |
Letting Relief
If you let part of your home while living there:
- Up to £40,000 relief
- Only for periods of shared occupation
Main Residence Election
Own multiple properties? You can nominate which is your main residence within 2 years of acquiring the second.
Related Calculators
- Capital Gains Tax Calculator - Calculate CGT
- Property CGT Calculator - Property-specific