Principal Private Residence - CG1 Form Claiming Full Relief

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Davex2irl

Registered User
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Hi,

I am looking for help with filling in a CG1 form and claiming full Principal Private Residence Relief, as I lived in the house the entire time before it was sold.

I bought the house in February 2019 - €295k - Legal Fees & Stamp duty €5,820

I sold the house in July 2024 - €441k - Legal & Auctioneer fees €9,175

To complete the form correctly, am I filling in the correct details?

Capital Gains:
1 (h) Residental Premises - €441k (sold in 2024)
5 (a) Disposal of Principal Private Residence - €441k (do I enter the full sale price here, as I am claiming the full relief?)

Is there any other part of the CG1 form I need to complete?

Thanks very much.
 
Protocol said:
I never heard of anybody selling a PPR to submit a CG return
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I'm in accountancy since 1988. In that time, I've only ever done a single CG1 for a client who had sold their PPR and wanted to make a capital gains tax return on it.

It was during the last boom and he was ready to buy his own business and was adamant that he wanted to be squeaky clean with Revenue ahead of that, so I complied.

Let's say for the sake of illustration that the PPR sale price was €350k.

We duly compiled and filed the return. A number of weeks later, he got a CGT bill from Revenue for €70k, the entire €350k @ the then CGT rate of 20%.

Obviously we got that sorted and it wasn't an issue, but it was an education - especially for him. Basically Revenue couldn't compute that he was filing a CG1 in respect of a fully exempt disposal so they thought it was safer to assess the vendor for CGT on the entire proceeds.

The making of a tax return is a serious business and should be treated with care.
 
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T McGibney said:
Let's say for the sake of illustration that the PPR sale price was €350k.

We duly compiled and filed the return. A number of weeks later, he got a CGT bill from Revenue for €70k, the entire €350k @ the then CGT rate of 20%.
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Seems very odd that they didn't even allow the deduction of the purchase price (never mind expenses) from the sale price in order to compute the supposedly assessable gain? :eek:

I always wondered if any/many people filed CGT returns on the sale of their PPRs. I guess not?
 
ClubMan said:
Seems very odd that they didn't even allow the deduction of the purchase price (never mind expenses) from the sale price in order to compute the supposedly assessable gain? :eek:
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They didn't care. They clearly couldn't understand that someone in his position would file a return so, just in case there was anything funny going on, they covered themselves by raising the assessment. This put the pressure back on him to clarify why he had filed it in the first instance - which we did on his behalf with no drama.
 
I submitted the CG1 form and I received a letter from Revenue saying I owe €0 tax, as I claimed the full PPR relief.

Section 1 (h) Residential Premises - the amount the house sold for.

Section 1 (i) Total Considerations - The same amount.

Section 5 (a) Disposal of Principal Private Residence - the amount the house sold for, as I was claiming the full PPR relief.

Section 21 (a) Enter amount of net gain to be charged at 33% - €0

Section 21 (f) (ii) Date of disposal - date the house sale went through.

Section 25 Self Assessment (a - g (i) entered €0 in those sections.

I hope this helps someone.
 
Davex2irl said:
I submitted the CG1 form and I received a letter from Revenue saying I owe €0 tax, as I claimed the full PPR relief.
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That's useful information but you must be in a tiny minority of people who actually file a CG1 return on the sale of their PPR to claim PPR relief.
Most people don't bother (or even know) and Revenue doesn't seem to mind or expect them to make such a return.
 
The same goes for disposals leading to total gains in a given year below the annual €1,270 exemption. An arguably pointless disclosure but one some people like to make.

The good thing with electronic filing is that the tax due is automatically computed. Whereas if you file a paper return, you wouldn't know what could come back at you.
 
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