PPR relief where there is a delay in occupying a property

It may be the case that you own a property but cannot occupy it as a main residence immediately after the date of purchase. When you sell that property you may be looking to claim principal private residence relief to reduce any capital gains tax charge. However when calculating principal private residence relief it is based on the period that you actually occupied the property and relief would not usually be given for the period when you did not occupy it immediately after purchase. By concession if there is a delay in occupying a property as a main residence after acquisition the Revenue will in certain circumstances treat this as deemed occupation by you (ie it qualifies for PPR relief). There are three circumstances when they will allow relief for a period between the acquisition of a property and the date you begin to occupy it. These are: • Where the delay in taking up residence is because a dwelling house is being built on that land
• Where the delay in taking up residence is because of the continuing occupation of the previous residence while arrangements are made to sell it
• Where the delay in taking up residence is because alterations or redecorations are being carried out You would however usually only qualify for this deemed occupation if the period between acquisition and occupation was less than 12 months, although in exceptional circumstances this can be increased to 24 months.