CGT and own home

[Fallenhero]

Hi just wanted to know the CGT on home.
Thinking on renting home out..and live with girlfriend.

How does CGT work when sellin a home?I lived in my home for five years and now want to rent it.I just worried if i rent out my home i am going to get a big CGT bill when i sell at a later date.How can i not pay any CGT on my own home if i rent it out ie go back after a year type of thing.I bought my home very cheap five years ago and now the price has rosed.Do they work out the CGT on when i brought the house or at the lastest price as the differents in price when i brought house and if i rent now is alot and wouldnt be fair?Hope i explained myself in this.

[TaxationPete]

As this was your home (PPR ) if you leave it and rent it out it will exempt from CGT for 36 months after which Letting Relief up to £40,000 will further offset CGT and may, depending on house prices in the future, keep the property free of CGT for 5,6,7 or even more years. Read IR283 on the HMRC.gov.uk web site. Regards Peter

[Fallenhero]

Letting Relief up to £40,000 how does that work...this after the three years?

[Fallenhero]

thanks thats great just read up....