How Much CGT Will You Pay? Calculate your liability on property, shares and other assets.
CGT rate applied: —
Following the October 2024 Budget, capital gains tax rates were simplified. The previous distinction between residential property and other assets was removed — all asset classes now use the same two rates.
| Asset Type | Basic Rate Taxpayer | Higher / Additional Rate |
|---|---|---|
| Residential Property | 18% | 24% |
| Shares & Securities | 18% | 24% |
| Commercial Property | 18% | 24% |
| Other Chargeable Assets | 18% | 24% |
Note: Business Asset Disposal Relief (formerly Entrepreneurs' Relief) applies a 14% rate (rising to 18% from April 2026) on qualifying business disposals up to a £1 million lifetime limit. This calculator covers standard CGT only.
The CGT annual exemption has fallen sharply since 2022, meaning far more disposals now generate a tax liability.
| Tax Year | Annual Exemption | Change |
|---|---|---|
| 2022/23 | £12,300 | — |
| 2023/24 | £6,000 | −£6,300 |
| 2024/25 | £3,000 | −£3,000 |
| 2025/26 | £3,000 | No change |
| 2026/27 | £3,000 | No change |
The exemption cannot be carried forward. If unused in a tax year, it is lost. Couples may benefit from transferring assets between spouses before disposal to use both exemptions (£6,000 combined).
These examples show how CGT is calculated for three common scenarios in 2026/27.
Rachel bought a buy-to-let property in Leeds in 2014 for £120,000. She sells it in 2026 for £220,000. Total acquisition costs (solicitor fees, stamp duty) were £5,000. Total selling costs (estate agent, solicitor) were £10,000.
Gross gain: £220,000 − £120,000 = £100,000
Less allowable costs: £5,000 + £10,000 = £15,000
Net gain: £100,000 − £15,000 = £85,000
Less annual exemption: £85,000 − £3,000 = £82,000 taxable gain
Rachel is a higher-rate taxpayer. CGT rate: 24%
CGT owed: £82,000 × 24% = £19,680
As a residential property sale, Rachel must also report and pay within 60 days of completion using HMRC's online CGT service.
Tom bought shares in a UK company for £15,000 in 2019. He sells them in 2026 for £25,000. He pays no dealing costs. His salary means he remains a basic-rate taxpayer even after adding the gain.
Gross gain: £25,000 − £15,000 = £10,000
Less allowable costs: £0
Net gain: £10,000
Less annual exemption: £10,000 − £3,000 = £7,000 taxable gain
Tom is a basic-rate taxpayer. CGT rate: 18%
CGT owed: £7,000 × 18% = £1,260
Tom reports this through Self Assessment by 31 January 2028. The 60-day rule does not apply to shares.
Sarah and James inherited a property jointly in 2020 at a probate value of £250,000 (£125,000 each). They sell in 2026 for £310,000. Selling costs total £8,000, split equally (£4,000 each).
Per person: Sale proceeds £155,000 − Probate value £125,000 = Gross gain £30,000
Less selling costs: £30,000 − £4,000 = Net gain £26,000
Less annual exemption: £26,000 − £3,000 = £23,000 taxable gain each
Both are higher-rate taxpayers. CGT rate: 24%
CGT per person: £23,000 × 24% = £5,520 (total household CGT: £11,040)
By owning jointly, Sarah and James each use their £3,000 exemption — saving an extra £720 in CGT compared to sole ownership.
Reducing your gain with allowable costs can significantly lower your CGT liability. HMRC allows the following deductions:
You cannot deduct: mortgage interest, routine maintenance costs, insurance, or management fees.
For shares, you can usually deduct dealing commissions and stamp duty paid at purchase.
If you sell your main home (the property where you live), you are usually exempt from CGT entirely through Private Residence Relief (PRR). PRR does not apply to buy-to-let properties, second homes, or properties that have never been your main residence. Partial relief may apply if the property was your main home for part of the ownership period.
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