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Principal Residence -exempt for capital gains on disposition

Principal residence is exempt from any capital gains arising on disposing the property. There are conditions to meet for criteria to treat a property as Principal Residence.

One of the conditions is that property involved should be a housing unit and it must have been ordinarily inhabited in the year by you , your spouse or common in l aw partner or former spouse or common law partner or your child

Tax payers have to designate the property as principal residence on Form T 2091( FormT2091)if the tax payer is still living or on form T 1255 if owner is deceased and represented by a legal representative,

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