📈 UK Capital Gains Tax Calculator

Capital Gains Tax (CGT) is a tax on the profit you make when you sell or dispose of an asset that has increased in value. It is the gain you make that is taxed, not the amount of money you receive. For example, if you buy shares for £5,000 and later sell them for £15,000, your capital gain is £10,000 — the difference between the sale price and the purchase price. CGT applies to a wide range of assets including second homes, investment properties (but not your main residence, which is usually exempt under Private Residence Relief), stocks and shares held outside an ISA or pension, business assets, valuable personal possessions worth more than £6,000 (with special rules for cars, including classic cars), and cryptocurrency.

For the 2026/27 tax year, the CGT rates are 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers. These rates apply to most chargeable assets including shares and personal possessions. The higher rate was reduced from 28% to 24% in the Autumn 2024 Budget, making property gains and share gains subject to the same rates for the first time in many years. Residential property that does not qualify for Private Residence Relief (such as buy-to-let properties and second homes) is also now subject to the same 18% and 24% rates.

Every individual is entitled to an Annual Exempt Amount (AEA), which is the amount of gains you can make each tax year before paying any CGT. For 2026/27 the AEA is £3,000 — it was halved from £6,000 to £3,000 in April 2024. Unused allowance cannot be carried forward, so it is important to use it each tax year if you have assets to dispose of. Married couples and civil partners can each use their own £3,000 allowance, effectively giving a household £6,000 tax-free gains per year.

Whether you pay 18% or 24% depends on your overall income level. Your taxable income (excluding the capital gain) is used to determine your tax band. If your income plus the gain (after deducting the AEA) falls within the basic rate band (£50,270 for 2026/27), you pay 18% on the portion of the gain within the band and 24% on any portion above it. This calculator helps you estimate your CGT liability for informational purposes. Always consult HMRC or a qualified tax adviser for an exact calculation.

The calculator first determines whether you are a basic rate or higher rate taxpayer by comparing your taxable income against the basic rate band of £50,270. It then deducts the Annual Exempt Amount of £3,000 from your capital gains (if you have not already used it). The remaining taxable gain is taxed at 18% if you are a basic rate taxpayer, or 24% if you are a higher rate taxpayer. If your income plus the gain straddles the basic rate boundary, the gain is split across both rates.

CGT Rates and Allowance 2026/27

1. Enter the total capital gains you have made from selling assets during the tax year.
2. Enter your taxable income (excluding the capital gains) to determine your tax band.
3. Indicate whether you have already used your \u00A33,000 Annual Exempt Amount this year.
4. Click the Calculate button.
5. Review your CGT liability, the rate applied and your gain after tax.

What is the Annual Exempt Amount for 2026/27?

The Annual Exempt Amount (AEA) is \u00A33,000 for the 2026/27 tax year. This is the amount of capital gains you can make before paying any CGT. Unused allowance cannot be carried forward to future tax years.

What are the CGT rates for 2026/27?

CGT is charged at 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers. These rates apply to shares, personal possessions and residential property alike. The higher rate was reduced from 28% to 24% from October 2024.

How do I know if I am a basic or higher rate taxpayer for CGT?

Your tax band for CGT is determined by adding your taxable income (excluding the gain) to the taxable portion of your capital gains. If your income plus the taxable gain (after the AEA) stays within the basic rate band of \u00A350,270, you pay 18% on that portion. Any gain above the basic rate band is taxed at 24%.

Do I pay CGT on my main home?

No. Private Residence Relief exempts your main home from CGT entirely, provided it has been your only or main residence throughout the period of ownership. CGT may apply to part of the gain if you have used part of the property exclusively for business, or if the property includes grounds exceeding 5,000 square metres.

How do I report and pay CGT?

For most chargeable assets (shares, personal possessions), you report and pay CGT via self-assessment by 31 January following the end of the tax year. For UK residential property, you must report and pay within 60 days of the disposal using the HMRC residential property return service.

This tool is for informational purposes only and does not constitute financial advice. Consult a qualified financial professional for advice specific to your situation.

Use your Annual Exempt Amount every tax year if possible, since it cannot be carried forward. If you plan to sell assets over several years, spreading disposals across tax years can maximise the total tax-free allowance. Married couples and civil partners can transfer assets between each other without triggering CGT, allowing both partners to use their £3,000 AEA and potentially both basic rate bands.

Investing through an ISA or a Self-Invested Personal Pension (SIPP) shields your investments from CGT entirely. The ISA allowance for 2026/27 is £20,000 per person per year. Any gains made within an ISA wrapper are free from CGT. Also consider tax-loss harvesting — crystallising losses on one asset can offset gains on another, reducing your overall CGT liability. For more on tax-efficient investing, see our ISA Allowance Checker and Income Tax Calculator.