capital gains tax on property calculator uk

How UK capital gains tax on property works

If you sell a UK property that is not fully covered by Private Residence Relief, you may need to pay Capital Gains Tax on the profit (gain). This commonly applies to buy-to-let properties, second homes, inherited properties later sold, or part of a home that was never your main residence.

In simple terms, your gain is usually:

Sale price − purchase price − allowable costs − eligible reliefs

After that, you can usually deduct your annual CGT allowance (the annual exempt amount), and then tax rates are applied.

What this UK property CGT calculator includes

• Purchase and sale values
• Buying and selling costs
• Capital improvements (not normal maintenance)
• Ownership share (helpful for jointly owned property)
• Other reliefs or brought-forward losses
• Taxable income and basic rate band split
• Annual CGT exemption

This gives a practical estimate of your potential CGT bill in minutes.

UK CGT rates used in this calculator

Residential property

• 18% on the part of your taxable gain that falls within your unused basic rate band
• 24% on the remainder

Other chargeable assets

• 10% basic rate portion
• 20% higher rate portion

Your personal tax position matters, so this split is important. The calculator estimates it using your taxable income and basic rate band limit.

Allowable costs and reliefs (common questions)

What counts as buying/selling costs?

Typical examples include solicitor fees, survey fees, stamp duty (on purchase), estate agent fees, and legal conveyancing fees on sale.

What counts as capital improvements?

Improvements usually add value or extend life of the asset, such as building an extension, loft conversion, or significant structural upgrades. Routine repairs and maintenance are generally not treated as capital improvements for CGT.

Can I use losses?

Yes, capital losses may reduce gains, subject to HMRC rules. The calculator includes an input for losses/other reliefs to give a better estimate.

Reporting and payment deadline

For many UK residential property disposals, you may need to report and pay CGT within 60 days of completion. Always verify current HMRC rules for your circumstances and tax year.

Worked example

Suppose you bought for £200,000 and sold for £320,000. Buying costs were £5,000, selling costs £6,000, and improvements £10,000.

• Gross gain: £320,000 − £200,000 − £5,000 − £6,000 − £10,000 = £99,000
• Less annual exemption (example £3,000): £96,000 taxable gain
• Tax is then split between lower/higher CGT rates based on your unused basic rate band

The calculator automates this split and gives a clean breakdown.

Important notes before you file

• This is an educational estimate, not personal tax advice.
• Rules differ for non-UK residents and corporate ownership.
• Private Residence Relief, Lettings Relief, probate valuations, and historic rules can materially change your result.
• For complex cases, use a qualified UK tax adviser or accountant.

Final thoughts

If you are searching for a capital gains tax on property calculator uk, the key is accuracy of inputs. The better your numbers for costs, improvements, and reliefs, the better your estimate. Use this page to plan ahead, then confirm figures against HMRC guidance before submission.