Your Asset Sale
Your Capital Gains Tax
Based on 2026/27 HMRC CGT rates. This is an estimate — seek professional advice for complex disposals.
How Does UK Capital Gains Tax Work in 2026/27?
Capital Gains Tax (CGT) is charged on the profit generated when disposing of an asset that has increased in value. It applies to assets including investment property, shares, cryptoassets, business assets, and personal possessions valued over £6,000.
How Do You Calculate a Taxable Capital Gain?
Your net capital gain equals the disposal proceeds minus the original acquisition cost and allowable expenditure (including legal fees, Stamp Duty paid, and capital improvements). The £3,000 annual exemption is deducted from this net gain to determine taxable profit.
What are the Capital Gains Tax Rates and Exemptions for 2026/27?
For the 2026/27 tax year, the statutory annual exempt amount is £3,000 per individual. Following the Autumn Budget, Capital Gains Tax rates are set at 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers across all chargeable assets.
| Asset Classification | Basic Rate Taxpayer (Income ≤ £50,270) | Higher / Additional Rate Taxpayer |
|---|---|---|
| Residential Property (Non-PRR) | 18% | 24% |
| Shares, Funds & Cryptoassets | 18% | 24% |
| Business Assets (Non-BADR) | 18% | 24% |
How Has the Annual Exempt Amount Changed Over Time?
The UK Capital Gains Tax annual exempt amount has been reduced by 75.6% since 2022/23 to expand the tax base.
| Tax Year | Annual Exempt Amount | Statutory Status |
|---|---|---|
| 2026/27 | £3,000 | Current Statutory Allowance |
| 2024/25 – 2025/26 | £3,000 | Frozen Threshold |
| 2023/24 | £6,000 | Transitional Reduction |
| 2020/21 – 2022/23 | £12,300 | Historical Allowance |
How Do Capital Gains Tax Reporting Deadlines Work?
Disposal reporting deadlines depend on the underlying asset type:
- UK Residential Property: You must report the disposal and pay CGT due within 60 days of completion via HMRC's online Capital Gains Tax on UK property service.
- Shares, Crypto and Other Assets: Report and settle liabilities via your standard annual Self Assessment return by 31 January following the tax year.
Step-by-Step Capital Gains Tax Worked Calculations (2026/27)
The worked examples below demonstrate how income stacking, allowable expenses, and the £3,000 exemption determine your statutory CGT bill.
Selling Shares (Basic Rate)
Buy-to-Let Property Disposal
Higher Rate Share Sale
Frequently Asked Questions
The statutory CGT annual exempt amount for 2026/27 is £3,000 per individual. Net gains up to £3,000 in a tax year are 100% tax-free.
Following Autumn Budget legislation, Capital Gains Tax rates are 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers across all chargeable assets, including property and shares.
For UK residential property disposals, you must report and pay CGT within 60 days of completion. For shares and crypto, report via Self Assessment by 31 January.
Yes. Capital losses incurred in the same tax year must be deducted from gains before applying the £3,000 exemption. Unused allowable losses can be carried forward indefinitely.
Your primary residence is generally 100% exempt from CGT under Private Residence Relief (PRR), provided the grounds do not exceed 0.5 hectares and no exclusive business use occurred.
Taxable capital gains are stacked on top of your taxable income. Any gain falling within your unused basic rate income band (£50,270 limit) is taxed at 18%; the remainder is taxed at 24%.