Unfortunate events

Whether a short period of occupation counted as ‘home’

The taxpayer bought a house through his company in February 2008 with the intention of moving his family in and making the property his permanent residency. He purchased it using a three-month bridging loan while he arranged a mortgage with the intent of buying the property from his company and enabling the company to repay the bridging loan. Due to the financial crash of 2008 it became impossible for him to obtain a conventional residential mortgage so he obtained a buy-to-let mortgage and let out the property under the terms of the mortgage with the intention of moving in later.

In early 2010 the taxpayer’s tenant died and his widow moved out soon afterwards. The taxpayer moved into the property during May 2010 to paint and decorate it but became depressed at the...