CGT on Former Main Residence (MR) with No Income

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Bruce4Tax · Answer

(New property is the new MR, so 'treating former home as MR' option doesn't apply.) No, that is still an option - but then no MR exemption on new home till old home sold. Does this mean only 40% of any capital gains on sale are taxed, corresponding to the % of ownership period when property was not a MR? Yes, - but based on days, not years I understand cost base would reset if property is used to produce income, but since it was never used to produce income, does cost base still need to be reset when it stopped becoming MR? No - and holding costs also reduce CG.

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