Offset loss on PPR against profit on shares?

Eldrew

Registered User
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8
I sold my PPR in 2012 for approx 200K less that I paid for it 6 years earlier. The house was rented out for the last three years. Can I now offset small profits I have made on the disposal of shares against the loss on my PPR?
 
No - any gain on sale of PPR is exempt so any loss is also exempt.
 
No - any gain on sale of PPR is exempt so any loss is also exempt.

The period while it was rented out would be subject to CGT so therefore the loss for that period is a capital loss.

Roughly period of occupation as PPR + 12 months / period of ownership, 4/6 would have been exempt so 2/6 is a claim able loss.
 
No - any gain on sale of PPR is exempt so any loss is also exempt.

Not as simple as that in this case.

While agreeing with OP re tax treatment of a PPR, if the house was rented out for the last three years (2009 to 2012?) then it was not a PPR for all the time. It was an investment property for the last three years. Final 12 months allowed as counting towards PPR, so not sure if that means it was an investment property for 2 or 3 years, but it was certainly an investment property and not a ppr for some time. (As an aside it is important that you ensure tax affairs in order and that rental income was subject to case v for the period of letting out, registered with PRTB, etc.)

As an investment property a gain would be taxable, so a loss would be allowable. I don't know for certain if you can offset share sale profits vs investment property losses - check with tax advisor. Though if you can't, at a minimum, you may/should be able to carry forward a portion of the loss on the property sale (the investment portion) and offset should you have future gains on investment properties.

Worth following up and clarifying the position and have clarity on the extent of the loss that you can use and carry forward any unused portion.
 
Apologies - skipped the part about it being rented out. Joe_90 is correct on how to calculate the allowable loss