My client, Jane, has owned a house since 2004 which she lived in until 2009 when she met and married her husband, John. John is a manager of a pub and he has to live on the premises. Since 2009 Jane has lived at the pub with her husband. She also works part-time at the pub. HMRC have agreed that the manager is required to live at the premises in “job related accommodation.”
Jane is now looking to sell her house which is 100% in her name. John also owns a property in his name. They both let their properties out. The intention was to live in Jane’s house when they retire in a couple of year’s time; however they have now decided to live in Johns.
I’m struggling to work out if the sale of Jane’s house would be eligible for 100% Private Residence Relief for the whole 15 years of ownership. Looking at HMRC guidelines I think if Jane was single she would qualify however the fact that she’s married and they each own a property is complicating the issue.
Any help /guidance would be appreciated, thanks.