CGT on house: Are my calculations reasonably accurate

[Pratch]

Will be going to an accountant to make sure all is in order but I like to be informed so was wondering if the below is reasonably on point in relation to my wife and I buying a house owned by my parents.

> House build in 1980.
> Lived in as Principal Private Residence for 10 years.
> Rented for 28 years.
> Lived in by owners (my parent's) children rent free for 2 years - rent was at or below yearly parental gift amount so no concerns there.

> Originally bought for £25,000
> Euro conversion indicates this is about €31,740
> Revenue CGT indexation factor indicates a multiplier of 3.742 based on date of purchase (early 1980) which equals €118,771

> House currently valued at €300,000
> Roughly ten years ago they spent €30,000 on renovations

Do I have the CGT calculation on point below?
> €300,000 (current value) minus €118,771 (indexation factor value) = €181,229 (capital gain)
> €181,229 (capital gain) minus €30,000 (renovations) = €151,229 (gain after renovation costs)
> €151,229 divided by 40 (years house has existed) multiplied by 28 (years house was rented to non-family) = €105,860
> 33% (CGT) of €105,860 = €34,934

So the CGT my parents would have to pay on the sale of the house is €34,934?

 

[jpd]

I don't think you get relief because you rented it to family members
The last 12 month's are always relieved
The calculation is done as
Net Proceeds from Sale = € 300,000
Less indexed purchase cost = - € 181,229
Less enhancement expenditure = = € 30,000 (presumably these can be justified and are enhancements, not repairs)
Gain = € 151,229

Period of ownership = 40 years
Period of PPR = 10 + 1 = 11
Relief = 11 / 40 = 27.5% x € 151,229 = € 41,488
Taxable gain = € 151,229 - € 41,488 = € 109,741
Less annual personal allowance € 1,270 x 2 if owned jointly and it i the only disposal during the year
Tax due = € 109,741 - € 2,540 = € 107,201 x 33% = € 35,376

 

[jpd]

Unless the following applied

In addition to the above, any period of absence during which both of the following circumstances apply:
(a) the claimant (who would normally live alone) was receiving care in a hospital, nursing home or convalescent home, or was resident in a retirement home on a fee paying basis; and
(b) the private residence remained unoccupied, should be treated as a period of occupation and, provided that all the other conditions of Section 604 are met, full principal private residence relief should be granted.

Where the residence was occupied rent free, during a period of absence as in 1(a) above, by a relative of the claimant, for the purpose of security or maintaining it in a habitable condition, the claim should be admitted.