Selling apartment. Principle Private Residence/CGT Question.

Dear all,

In November 2004 i completed the purchase of an apartment in Dublin with a friend for a consideration of €300k (We put a deposit down about 2yrs ago and apartment was completed in Nov 2004).
I was a first time buyer however my friend already had a house in the south of Ireland. He subsequently bought another investment property in Dublin which he rents out.
Stamp duty on our Dublin property was not payable as the apartment is Principle Private Residence (PPR) to both of us. We have now agreed to put the apartment on the market.

My questions are as follows:

(a) What percentage is the claw back of stamp duty?
(b) Is there any form we have to fill out indicating the the apartment is our PPR?
(c) Am i correct in thinking that CGT is not payable as the apartment is our PPR.

Thanks in advance for any replies.

Tom1000 said:

Stamp duty on our Dublin property was not payable as the apartment is Principle Private Residence (PPR) to both of us. We have now agreed to put the apartment on the market.

My questions are as follows:

(a) What percentage is the claw back of stamp duty?

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If both of you lived there in it as your PPR since purchase and it was never rented out then no stamp duty clawback applies.

(b) Is there any form we have to fill out indicating the the apartment is our PPR?

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Not that I'm aware of.

(c) Am i correct in thinking that CGT is not payable as the apartment is our PPR.

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As (a) - no CGT if it was your PPR.

Thanks for the v.quick response Clubman. On the clawback of stamp issue. I was under the impression that because we are owner occupiers (and given the fact that my friend owned an additional property prior to purchase) a 5 year rule applied i.e. if you sold within the 5 years then stamp duty was clawed back.

I would obviously be delighted if this was not the case!

Perhaps you would be kind enough to let me know.

Tom1000 said:

On the clawback of stamp issue. I was under the impression that because we are owner occupiers (and given the fact that my friend owned an additional property prior to purchase) a 5 year rule applied i.e. if you sold within the 5 years then stamp duty was clawed back.

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The clawback only applies in the case of a property originally bought as an owner occupier PPR being rented out (other than under the rent a room scheme) within five years of purchase - but not if an owner occupier sells their PPR within five years. See . As long as both of you were actually living in it as your PPR then the clawback does no apply and your friend's other investment properties are irrelevant.

Thanks for the advice - much appreciated.

I have seached the site and others looking for stamp duty rates applicable in 2001 incase they have changed in a stampy duty claw back issue.

Can anyone point me in the right direction ?

You can probably figure out the rates that applied in 2001 by trawling back through the [broken link removed]. However it might be simpler to give Revenue a call and ask them directly.