BFG on the period between the sale and the disposal of the main residence for obtaining the main residence exemption

Although the times are determined by the passage of time, tax-free property sales (Keyword Speculation period) that have passed, there are still the Primary residence exemption, which imposes a fundamental tax liability of private property sales can prevent. Such a Primary residence exemption occurs when a (developed) property has been used for more than two years continuously as main residence has been used and is sold after 31 March 2012. The decision for this benefit also depends on the Time span between Sale and Purpose of the principal residence, Because there is a close temporal relationship It is also required. In addition, there is the so-called „5 out of 10 rule“,” after which the Primary residence exemption also applies even when inside the last 10 years before the sale at least 5 years continuously in this unit of housing Principal residence was justified.

The Federal Fiscal Court (BFG) had taken over in two different cases (GZ RV/6100633/2014 of 28.10.2014 and GZ RV/7100571/2014 of 7.11.2014) to separate out two constellations, whose commonality lay in the fact that the taxpayers in each case were in possession of the main residence exemption. In that The first facts of the case the point was that the main residence was located with July 2012 (Signature of the contract) Sold was, the Excerpt from the double-detached house that was sold, however only at the end of December 2013 was carried out because the Construction work for the new main residence delayed had. That Tax office denied due to this long duration (approximately 1.5 years) between the sale and the disposal of the main residence Primary residence exemption, Because the Main residence abandoned late has become. The Income tax guidelines see here for Tolerance limit of 1 year Before (previously it was only 6 months). The BFG shared the view of the tax office, taking into account the Purpose and purpose The Primary residence exemption No. The purpose of the exemption is to ensure that the Revenue from the sale of the old main residence untouched to Creation one new main residence is available. The exceeded 1-year term could in the present case only as an indication would be taken into account because, if the construction had proceeded as planned, the aforementioned deadline would have been met. Since in the specific case the Taxpayers Also Not for the delays responsible were and the content Context between the Sale of the old residence and the sheepfung of the new place of residence clearly Given the situation, this was what happened BFG die actual deadline between the sale and transfer of the main residence about 1.5 years as yet adequate and approved the main residence exemption.

In the other circumstances denied the BFG However, the Primary residence exemption. This is despite the fact that home ownership (in the 1970s) was for more than three years continuous also Principal residence had served and thus the prerequisite for continuous use of at least two years had been met. Since however this Principal residence At the end of 1973 to another location was moved and it first I'm 2012 to Sale of the main house (original main residence) came, The BFG saw this too far apart in terms of time between Purpose of the principal residence and Sale of the residential property. The main residence had been abandoned prematurely, This prevents the main residence exemption from being granted. The administrative practice granted Tolerance for the sales date of 1 year at least before or after the main residence was vacated well exceeded has been.

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