Free Tax Calculator · 2025/26
UK Capital Gains Tax Calculator 2025/26
Estimate the Capital Gains Tax on your property or share disposal at the 2025/26 rates of 18% and 24%, after your £3,000 annual exempt amount.
Your income sets how much of the gain is taxed at 18% versus 24%.
Your 2025/26 estimate
Capital Gains Tax due
£18,480
You keep £61,520 of the gain
Estimate for England, Wales & Northern Ireland, 2025/26, for disposals on or after 30 October 2024. Ignores reliefs such as Business Asset Disposal Relief and losses. Not personal advice.
How the UK Capital Gains Tax Calculator works
This UK Capital Gains Tax Calculator applies the 2025/26 rules to your disposal. First, it deducts your £3,000 annual exempt amount from the gain. Then, it stacks your taxable income and places the remaining gain on top. Finally, it charges 18% on any gain that falls within your remaining basic-rate band and 24% on the rest. The result is a fast, reliable estimate of the tax due and the amount you keep.
Capital Gains Tax has changed dramatically in recent years. Consequently, disposals that were once tax-free now generate real liabilities. Understanding how your income interacts with your gains is therefore essential, particularly for higher earners and those selling investment property.
The 2025/26 Capital Gains Tax rates explained
Following the October 2024 Budget, Capital Gains Tax rates were aligned. As a result, disposals on or after 30 October 2024 are taxed at 18% within the basic-rate band and 24% above it, whether the asset is residential property, shares or another chargeable asset. Previously, shares and other assets attracted lower 10% and 20% rates, so many investors now face a materially higher bill.
Importantly, your income is taxed first and your gains sit on top of it. Therefore, a basic-rate taxpayer with a large gain will often find most of that gain pushed into the 24% band. Higher and additional-rate taxpayers, meanwhile, pay 24% on effectively all of their gains.
The shrinking annual exempt amount
The annual exempt amount is the slice of gains you can realise tax-free each year. For 2025/26 it is just £3,000. Notably, this allowance has been cut sharply from £12,300 in 2022/23 and £6,000 in 2023/24. As a direct consequence, far more people now pay Capital Gains Tax, and even modest disposals can create a filing obligation. Because the allowance cannot be carried forward, using it every year is a simple but valuable habit.
Selling property: Private Residence Relief and the 60-day rule
Your only or main home is normally exempt through Private Residence Relief, so most people pay no tax when they sell it. However, second homes, buy-to-let properties and inherited property are firmly within the Capital Gains Tax net. Furthermore, if you sell UK residential property at a gain, you must report and pay within 60 days of completion. This deadline is far shorter than Self Assessment, and missing it triggers penalties and interest.
Reliefs and planning for larger gains
Several reliefs can reduce your bill significantly. Business Asset Disposal Relief, for instance, cuts the rate on qualifying business sales to 14% for 2025/26, up to a £1 million lifetime limit, although this rate rises to 18% from April 2026. In addition, transfers between spouses on a no gain, no loss basis let couples use two allowances and two basic-rate bands. Offsetting capital losses, timing disposals across tax years and holding assets within ISAs and pensions all reduce exposure further.
For high-net-worth individuals, these levers combine into meaningful savings. Accordingly, we recommend planning any substantial disposal well in advance rather than reacting after the sale. The most valuable decisions, such as which spouse holds an asset or which tax year to complete in, must be made before contracts are exchanged.
Capital gains and US citizens in the UK
Cross-border investors face an additional layer of complexity. The United States taxes its citizens on worldwide capital gains, and critically, it does not recognise UK Private Residence Relief on your main home. Therefore, a US citizen selling a London home tax-free for UK purposes may still face a US liability. Foreign Tax Credits and the US–UK treaty usually mitigate double taxation, yet the timing and character of gains must be managed carefully across both systems.
In summary, this Capital Gains Tax Calculator gives you a clear 2025/26 estimate in seconds. Use it to understand your exposure before you sell. Then, for anything significant, our specialist UK and US–UK advisers can structure the disposal to minimise tax on both sides of the Atlantic.
Common Questions
UK Capital Gains Tax Calculator — FAQs
What is the Capital Gains Tax rate in the UK for 2025/26?
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For disposals on or after 30 October 2024, Capital Gains Tax is charged at 18% within your remaining basic-rate band and 24% above it. These rates now apply to both residential property and other assets such as shares. Your income determines how much of the gain falls into each rate.
How much is the Capital Gains Tax allowance in 2025/26?
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The annual exempt amount is £3,000 for 2025/26. This is the amount of gains you can realise tax-free each year. It has fallen sharply from £12,300 in 2022/23, so far more disposals now create a tax liability.
How does my income affect my Capital Gains Tax rate?
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Your taxable income is stacked first, then your gains sit on top. Any gain that falls within your remaining basic-rate band is taxed at 18%, and the rest at 24%. Higher and additional-rate taxpayers therefore pay 24% on most or all of their gains.
Do I pay Capital Gains Tax when I sell my main home?
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Usually not. Private Residence Relief normally exempts the sale of your only or main home. However, relief can be restricted if you let the property, used part of it for business, or owned very large grounds. Second homes and buy-to-lets are fully within CGT.
What is the 60-day rule for residential property?
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If you sell UK residential property at a gain, you must report it and pay the Capital Gains Tax within 60 days of completion. This is a separate, faster deadline than your normal Self Assessment return, and penalties apply if you miss it.
How is Capital Gains Tax calculated on shares?
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Your gain is the sale proceeds minus the original cost and allowable expenses. Special share-matching rules apply, including the same-day and 30-day rules and the Section 104 pooling of identical shares. After deducting the annual exempt amount, the 18% and 24% rates apply based on your income.
What is Business Asset Disposal Relief?
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Business Asset Disposal Relief reduces the CGT rate on qualifying business disposals to 14% for 2025/26, up to a £1 million lifetime limit. The rate is scheduled to rise to 18% from April 2026. Strict conditions apply, so qualifying disposals should be planned carefully.
Can I transfer assets to my spouse to save Capital Gains Tax?
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Yes. Transfers between spouses and civil partners are made on a no gain, no loss basis. This lets couples use two annual exempt amounts and can shift a gain to the partner with unused basic-rate band, reducing the overall bill. Timing and documentation matter.
Do I pay Capital Gains Tax on cryptocurrency?
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Yes. HMRC treats most crypto assets as chargeable assets, so disposals, including crypto-to-crypto swaps, can trigger Capital Gains Tax. The same £3,000 allowance and 18%/24% rates apply. Accurate records of every transaction are essential.
How can I reduce my Capital Gains Tax legally?
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Common strategies include using your annual exempt amount each year, transferring assets to a spouse, offsetting losses, timing disposals across tax years, and holding assets in tax-efficient wrappers such as ISAs and pensions. For larger portfolios, professional planning typically saves far more than it costs.
Are US citizens in the UK taxed twice on capital gains?
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Potentially. The United States taxes its citizens on worldwide gains, and it does not recognise UK Private Residence Relief on your main home. Foreign Tax Credits and the US–UK treaty usually prevent double taxation, but the interaction is complex and mistakes are costly. This is a core area of our cross-border work.
What happens if I make a capital loss?
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Capital losses are first set against gains in the same tax year, which can reduce your bill to nil. Unused losses can be carried forward indefinitely, provided you report them to HMRC within four years. Losses are a valuable and often overlooked planning tool.
Does this calculator cover residential and non-residential assets?
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Yes. Because the 2025/26 rates are aligned at 18% and 24% for both, the calculation is the same. The key practical difference is reporting: residential property gains must be declared and paid within 60 days, while other gains go through Self Assessment.
When is the 2025/26 Capital Gains Tax year?
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The tax year runs from 6 April 2025 to 5 April 2026. Your £3,000 annual exempt amount resets at the start of each year and cannot be carried forward, so unused allowances are simply lost.
Should I get professional advice before a large disposal?
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Yes. For significant gains, the difference between a planned and an unplanned disposal can be tens of thousands of pounds. Advice on timing, reliefs, losses and cross-border issues almost always pays for itself, especially for high-net-worth and internationally mobile clients.
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