Capital Gains on non-resident

[JMW]

Hi,

I'm irish presently living in Dublin in primary residence that I bought 3 years ago.
I am moving to the states in the next 6 months and plan to rent out my house.

I have been told that I should get my house valued just before I rent it because if I sell it in the future capital gains will be calculated on the Sale price MINUS the value of the home once it became a rental property.
Can anyone confirm if this is true?

I've also been told that if I sell in the the future capital gains tax is calculated on the period that it was rented. e.g PPR 3 years v 3 years rented. Pay 10% capital gains versus 20%

Finally I have been told by someone else that If I can prove I had to move to the states for work reasons I will not have to pay capital gains tax?

All very confusing. Any help would be appreciated

 

[WaterSprite]

Hi,

I'm irish presently living in Dublin in primary residence that I bought 3 years ago.
I am moving to the states in the next 6 months and plan to rent out my house.

I have been told that I should get my house valued just before I rent it because if I sell it in the future capital gains will be calculated on the Sale price MINUS the value of the home once it became a rental property.
Can anyone confirm if this is true?

This is definitely not true.

I've also been told that if I sell in the the future capital gains tax is calculated on the period that it was rented. e.g PPR 3 years v 3 years rented. Pay 10% capital gains versus 20%

This is kinda true but the actual CGT rate remains the same - there's just an abatement for the period during which it was your PPR (which works out the same if you use your example above). BUT, you can also include an additional 12 months after you've moved out to treat it as your PPR. So if you live in the house for 2 years and sell it after another 4, you pay 50% of the CGT normally payable (2 years PPR + 12 months grace vs 3 years investment property)

Finally I have been told by someone else that If I can prove I had to move to the states for work reasons I will not have to pay capital gains tax?

All very confusing. Any help would be appreciated

See the Revenue CGT Guide for information

In addition to the twelve months referred to above, the following periods of absence from the house are
also regarded as periods of occupation provided that, both before and after those periods, the
house was the owner’s only or main residence and that throughout those periods he/she had no
other house eligible for exemption:-
(i) any period throughout which the individual was employed outside the State
and
(ii) a period of up to four years during which the individual was required by the conditions of his/her
employment to reside elsewhere.