CGT liability of my primary residance after renting

I have lived in my current home for 10 years. I am considering moving out of my home and renting out my house for the next 5 years. I will not be purchasing a second home. I am trying to understand the capital gain tax liability if I were to sell my house 5 years after renting it out. Would CGT be applicable to one third of the gain since first purchasing the house i.e 5 years out of 15? Also to confirm, whilst living in my house I have made some significant improvements to the home including a back-to-brick remodel of the kitchen extension with a new roof, windows, and an upgraded kitchen, Can this £35k investment be offset against inheritance tax? Many thanks, 

To confirm, for the second part of the question, I meant can the improvements to the property, be offset against Captial Gains Tax. not inheritance tax

Hi edlanwarne,
On the basis of the info provided, you would be covered by Private Residence Relief for the first 10 years of ownership, but potentially liable to Capital Gains Tax in relation to the period when the property is rented out.  
Tax when you sell your home   
 Sorry, we are unable to answer Inheritance Tax (IHT) queries on this forum, but you may wish to direct your question to our colleagues on the IHT helpline Tel:  0300 123 1072.
Inheritance Tax: general enquiries
Thank you. 
 

Thank you Admin 25 for coming back to me. Sorry, my error I didn't mean IHT that was a typo. My question was, can the cost of significant home improvements whilst I've been living at the property be offset against Capital Gains Tax as an allowable expense? Many thanks,

Hi edlanwarne,
Yes, these can be classed as expenses for improvement costs to reduce your capital gain.
Thank you. 

Hi I am in a similar situation to above. However my house has gone up £90k in value whilst living in with only small home improvements over the last 7 years. How do I evidence this gain as just a main residence before we rent out the property? To avoid paying CGT on monies made prior to any rental? Thanks

Not HMRC...simple answer is you dont, the gain on the property is time apportioned on sale regardless of the periods it arose in.

Hi Danielle,
This will only be taken into account when you come to actually sell the property as its the total gain that is taken into account, relief is then given for the period you lived in the property as well as any capital improvements.
Thank you.

Hi if a house has been lived in for 46 years but then rented out for 2 as the owner had to live with family due to ill health, now at the point of selling the house will the owner be liable for CGT. It was purchased 46 years ago and so it has had lots of work done over that time and clearly the value have has increased significantly since purchase.

Hi,
You may find that private residence relief will cover all or most of any gain that may arise.  
There is a capital gains tax calculator below to help work this out.
Tax when you sell property
The calculator should be used in conjunction with HS283 when working out the amount of private residence relief the person can claim.  
HS283 Private Residence Relief (2024)
If tax is payable, the calculatore leads on to registering for a capital gains account, where the gain can be reported and the tax paid. If no gain arises, then there is nothing more that needs to be done.
Thank you.

Hello, I lived in my private residence for 13 years. Due to change in job location, the house has been rented out for the past 2 years and we are currently living in a rental property. We have no second home. During the 13 year period we carried out a lot of home improvement. Thank you. We plan to sell in the next 6 months. Are we liable to CGT?

Hi,
This forum is for general queries only and is intended to help you self-serve. We are unable to provide specific advice tailored to individual circumstances.
Please refer to:
Capital Gains Tax: what you pay it on, rates and allowances
Thank you

Hi, I have owned an apartment since 2019 and in 2024 I purchased a lodge which I now live in on a lodge park which is exempt from council tax. I currently rent out the apartment but, I’m now considering selling the apartment in 2025/26. Would I pay CGT on the sale of the apartment.

Hi,
Please see the following guidance to help you work out if you will need to pay Capital Gains tax:-
Tax when you sell property
Thank you.