UK CGT Calculator - Calculate Capital Gains Tax 2025/26
Free calculator to determine UK Capital Gains Tax liability for 2025/26 tax year with accurate HMRC rates for property and other assets
UK Capital Gains Tax Calculator
CGT Breakdown
What is a UK CGT Calculator?
A UK Capital Gains Tax (CGT) Calculator is a free online tool that helps you calculate the tax payable on profits made from selling assets such as property, shares, or business assets. It applies HMRC's 2025/26 tax rates, annual allowances, and determines your CGT liability based on your income tax band and asset type.
This calculator works for:
- Property sales - Calculate CGT on buy-to-let and second homes
- Share investments - Determine tax on stock and share sales
- Business assets - Estimate CGT on business disposals
- Tax planning - Optimize timing of asset sales to minimize CGT
- HMRC reporting - Prepare accurate tax return information
For cryptocurrency investors, explore our UK Crypto Tax Calculator to calculate Capital Gains Tax specifically on Bitcoin, Ethereum, and other digital assets with HMRC-compliant calculations.
If you're buying property in England or Northern Ireland, use our SDLT Calculator to estimate Stamp Duty Land Tax including first-time buyer relief and additional property surcharge.
For Scottish property transactions, check our LBTT Calculator to calculate Land and Buildings Transaction Tax with accurate Scottish rates and Additional Dwelling Supplement.
For general income tax calculations, use our UK Tax Calculator to determine your income tax band and understand how it affects your CGT rate.
How UK CGT Calculator Works
The calculation follows HMRC guidelines for 2025/26:
Step 1: Calculate Capital Gain
Gain = Sale Price - Purchase Price - Allowable Costs
Allowable costs include purchase fees, improvement costs, estate agent fees, and legal costs.
Step 2: Apply Annual Allowance
Taxable Gain = Capital Gain - £3,000
The Annual Exempt Amount for 2025/26 is £3,000. Gains below this are tax-free.
Step 3: Apply CGT Rates
- Shares/Other Assets: 10% (basic rate) or 20% (higher rate)
- Residential Property: 18% (basic rate) or 24% (higher rate)
Your income tax band determines whether you pay basic or higher rate CGT. If the gain pushes you into the higher rate band, you may pay both rates.
Key CGT Concepts Explained
Annual Exempt Amount
The tax-free allowance for capital gains (£3,000 for 2025/26). Use it each tax year or lose it - it doesn't carry forward.
Allowable Costs
Expenses that reduce your capital gain including purchase costs, improvements, estate agent fees, solicitor fees, and stamp duty.
Capital Gain
The profit made from selling an asset. Calculated as sale price minus purchase price minus allowable costs.
Private Residence Relief
Exempts your main home from CGT. Second homes and buy-to-let properties don't qualify and are subject to CGT.
Tax Year
Runs from 6 April to 5 April. Plan asset sales around tax years to optimize use of annual allowances.
Reporting Deadline
Property: 60 days from completion. Other assets: Self Assessment by 31 January following tax year.
Real-World CGT Examples
Example 1: Basic Rate Taxpayer - Shares
Sale: £50,000 | Purchase: £30,000 | Costs: £500
Gain: £19,500 | Allowance: £3,000 | Taxable: £16,500
CGT Rate: 10% | Tax Due: £1,650
Example 2: Higher Rate Taxpayer - Property
Sale: £300,000 | Purchase: £200,000 | Costs: £10,000
Gain: £90,000 | Allowance: £3,000 | Taxable: £87,000
CGT Rate: 24% | Tax Due: £20,880
Example 3: Gain Below Allowance
Sale: £15,000 | Purchase: £12,500 | Costs: £200
Gain: £2,300 | Allowance: £3,000 | Taxable: £0
CGT Rate: N/A | Tax Due: £0
How to Use This Calculator
Enter Sale Price
The amount you sold the asset for (e.g., £250,000)
Enter Purchase Price
Original cost paid for the asset (e.g., £200,000)
Add Allowable Costs
Include fees, improvements, and legal costs (e.g., £5,000)
Select Asset Type
Choose property or shares/other assets for correct rate
Select Tax Band
Choose basic or higher rate based on income
View CGT Breakdown
See detailed calculation and tax liability
Benefits of Using This Calculator
- • Accurate HMRC Rates: Uses official 2025/26 Capital Gains Tax rates and allowances for precise calculations.
- • Property vs Assets: Correctly applies different CGT rates for residential property (18%/24%) and other assets (10%/20%).
- • Tax Planning Tool: Plan asset sales strategically to minimize CGT liability and optimize annual allowance usage.
- • HMRC Reporting: Generate accurate figures for Self Assessment tax returns and property disposal reporting.
- • Investment Decisions: Understand tax implications before selling shares, property, or business assets.
- • Instant Results: Real-time calculations with detailed breakdown including gain, allowance, and tax due.
Factors That Affect Your CGT
1. Asset Type
Residential property incurs higher CGT rates (18%/24%) compared to shares and other assets (10%/20%) due to government housing policy.
2. Income Tax Band
Your income tax band determines CGT rate. Higher earners (£50,270+) pay double the rate of basic rate taxpayers.
3. Allowable Costs
Maximize deductions by including all allowable costs: purchase fees, improvements, legal fees, estate agent fees, and stamp duty.
4. Timing of Sale
Strategic timing across tax years allows use of multiple annual allowances. Sell in April for two allowances (current and next year).
5. Multiple Disposals
Multiple asset sales in one tax year share the £3,000 allowance. Plan carefully to minimize total CGT across all disposals.
6. Spouse Transfers
Transfers between spouses are CGT-free, allowing couples to use both annual allowances and potentially lower tax bands.
Frequently Asked Questions (FAQ)
Q: How is UK Capital Gains Tax calculated?
A: UK CGT is calculated on the gain (profit) made when selling an asset. Gain = Sale Price - Purchase Price - Allowable Costs. For 2025/26, the first £3,000 of gains is tax-free. Basic rate taxpayers pay 10% (18% on property), while higher/additional rate taxpayers pay 20% (24% on property).
Q: What is the CGT annual allowance for 2025/26?
A: The Capital Gains Tax Annual Exempt Amount is £3,000 for 2025/26 tax year. This means you can make gains up to £3,000 without paying any CGT. This allowance applies to individuals and cannot be carried forward to future years.
Q: What assets are subject to Capital Gains Tax?
A: CGT applies to shares, stocks, bonds, business assets, personal possessions worth £6,000 or more, and property (excluding your main residence). Your main home is usually exempt under Private Residence Relief.
Q: What are the CGT rates for property vs other assets?
A: For 2025/26: Basic rate taxpayers pay 10% on most assets and 18% on residential property. Higher and additional rate taxpayers pay 20% on most assets and 24% on residential property.
Q: What costs can I deduct when calculating CGT?
A: Allowable costs include purchase price, improvement costs (not repairs), stamp duty, estate agent fees, solicitor fees, and professional costs of valuation. You cannot deduct maintenance, repairs, or insurance costs.
Q: Do I need to report capital gains to HMRC?
A: Yes, you must report capital gains that exceed the £3,000 annual allowance. For property disposals, you must report within 60 days. For other assets, report via Self Assessment tax return by 31 January.