Deemed periods of absence

[wilf91]

Say I own two properties, A for fifteen years and B for five. I then sell B, and assume I am eligible to use a deemed period of absence of three years, which reduces the CGT liability, does the deemed period of three years reduce the PPR exemption for property A? i.e. A can then only have PPR exemption period of 12 years not 15. Thanks in advance

[section 44]

You own two properties.

assume I am eligible to use a deemed period of absence of three years

You need to expand on this. Either you have made some material, but perhaps not apparent, assumptions, or you don't understand this.

[Peter D]

When did you live in the properties. Regards Peter

[King_Maker]

Have you read HMRC's Help Sheet HS283 on the subject?

http://www.hmrc.gov.uk/helpsheets/hs283.pdf

[For disposals after 5 April 2014, the exemption for the last 36months of ownership is reduced to 18 months.]

[wilf91]

Apologies for the lack of details. Yes, I have read the HMRC help sheet. My question was whether a period of absence that becomes a deemed period of qualifying residence ." a. absences for whatever reason, totalling not more than 3 years in all" and the final 18 months of ownership affect the qualifying periods as a main residence of another property.

a) Property A bought in Jan 2000 and was my main residence until 2010 (10 years main residence Property A)
b) As well as using Property A, in 2010 I bought Property B for elderly father to live in. I moved in to be his carer and Property B was main residence for about a year. (1 year main residence Property B)
c) 2011 moved back to Property A as main residence as father able to manage by himself. (4 years main residence Property A)
d) 2015 am now using Property B again as main residence as father needs care at home. (1 year main residence Property B)
e) Say I sell Property B June 2016 as father will then be in residential care.

so is it possible that 14 years PPR relief will be given for Property A (10 +4)
or
Do the final 18 months of ownership of Property B and the qualifying 3 years reduce the 14 years PPR relief for Property A? A nomination was not made with regards to main residence so it will be determined on facts. I am assuming there is evidence to support this, and another 3 qualifying years of absence will be given for Property B.

Jan 2000-June 2016
Although the period is 16 1/2 years, and being eligible for 14 years PPR relief on Property A and 5 1/2 years (1+ 3+ final 18mths) relief on Property B (going to mid 2016) may seem unlikely but I do know there are anomalies in tax, and deemed periods can be grey areas, hence the question.