Hi

I'm based in Australia and looking at selling a flat in the UK. For a while all was looking good for getting the principal residence exemption from CGT when I sell - I've owned the flat for less than 6 years, don't have another principal residence, etc.
However the flat is a share transfer property - i.e. the flat along with the other flats in the block is owned by a company and I own shares in the company and am a director. (The flat was converted from a larger house and that is just the way the original owner decided to create separate interests). So technically the flat is owned by a company and not by a "natural person" which is the requirement for the exemption.
Has anyone else come across this problem? It seems like I would fall on the wrong side of the exemption. I'd welcome any views or advice.

Many thanks

Rose

Are you talking about the freehold and leasehold?

I had a similar situation where I owned a flat which was one of 4 in a converted house. Whilst I owned the leasehold outright I also had a quarter share of the management company that owned the freehold for the whole building. When you sell the flat you sell the remaining lease normally about 999 years and then just do a share transfer for the freehold part which menas you are free from CGT in the UK at least.