Sale of house - current use value

When the private residence comprises development land and the consideration exceeds €19,050, the
private residence relief is withdrawn or modified. This includes the disposal of a garden or part of a
garden of a principal private residence for ‘development land’, e.g. if sold as a site, or for access, right
of way etc. If the consideration (or open market value, if it is transferred in a non arm’s length
transaction e.g. gift ) is less than €19,050 full relief will be due.

Click to expand...

ssap16 said:

A friend of mine is selling his house in a small town. He is getting €1 million for it. His accountant advises him that he will have to pay CGT on the excess of the million over the current use value of the house which is estimated at €400,000. The buyer is the neighbouring shopkeeper. However no planning permission for change of use has occured. Is this correct? I thought you could sell your house and an acre of garden and claim principal private residence exemption.

Click to expand...