The appellant’s period of ownership of an apartment for capital gains tax (CGT) private residence relief purposes began when he owned the legal and equitable interest in the lease of the apartment and the legal right to occupy it, being the date of legal completion of the purchase of the lease. His period of ownership ended when the contract for its sale was completed. 

Background 

On 2 October 2006, the taxpayer entered into a contract to lease an apartment. The apartment did not exist in 2006; the area which was to become the apartment was a space in a tower. 

The work on the area that became the apartment began in November 2009. The apartment was substantially physically completed in December 2009. The purchase was legally completed on 5 January 2010. The taxpayer had no right to occupy the dwelling until