79 days for only or main residence relief

Key points

• The client let the property after refurbishing it lived in it for 79 days let it again and then sold it.
• Expensive refurbishment is not enough to indicate intention to live in the property.
• Spoken evidence from witnesses was helpful in affirming the client’s intention.
• Hints on preparing for a First-tier Tribunal appeal hearing.

We have recently managed to have a period of 79 days treated as eligible for only or main residence relief after a case taken to the First-tier Tribunal (I Davidson TC/2017/06639). But as usual the devil is in the detail. Here are the facts.

The client bought the property in June 2008 for about £555 000 and sold it in February 2013 for £750 000. He spent considerable amounts refurbishing the flat before letting it until March 2011. After that he occupied it until May 2011 when it was let until 29 December 2012 after...