Taxation of main home used for holiday lets

[Bonny]

Thanks in advance for any comments

I need to understand the rules on this please. I’m selling my main and only home to live with a sick relative as full time carer. I want to buy my next home in Cornwall and move into it full time when I am no longer needed here depending on how the illnesses progress.
In the meantime I’d like to rent it out on holiday lets ( not short term tenancies) so I have secured my future home so I don’t need to go through all the stress of a house move when I’m getting through the grieving time and settling up estate etc and have a small income in the meantime to supplement my carers allowance which is currently my only income. Also during voids it could provide a holiday for my partners elderly parents .
I had been renting my previous home out to make ends meet . I had lived in it prior to renting and am aware of the effect on private residence relief for cgt , but I’m not familiar with how I’d be taxed going forward with holiday letting of my new home both as income and more importantly for me cgt on disposal should I decide to sell it much further down the line having moved into it for several years hopefully.
I hope I’ve been clear .
Cheers

[bd6759]

Mostly, it’s simple arithmetic.

For CGT, the exempt gain is a proportion of the actual gain in months. Months you lived in it/ months you owned it. (You can also count up to the last 9 months of ownership as months lived in if not already counted).


For letting, it’s income less expenses. You should apportion expenses for any period that it was not available for letting (used by yourself or friends and family). Any reasonable method of apportionment can be used: time based is the norm.