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Hello! My name is Debra (formerly known as Legal Ease). Thank you for your question. I'm reviewing it now, and will post back again shortly.
No unfortunately that is not at all correct.
You can only have one principal residence per year and you have to look at each year.
So if you designate the cottage as your principal residence for certain years then you would pay capital gains tax on your home for those years when it is later sold.
Does that clarify the law?
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Is there anything more I can help you with at this point in time?