286. The principal private dwelling house exemption.

The disposal of a principal private dwelling house by an individual, including its garden or grounds of up to 0.5 hectare1 (including the site of the house) is exempt from capital gains tax (CGT)2.

To qualify for the exemption the seller must have lived in the dwelling house as his only or main residence throughout his period of ownership3. A degree of permanence and expectation of continuity is required for the exemption to be claimable4. A short period of residence (for example, of a few months) may not qualify for relief5 but certain periods of absence are disregarded when deciding