Tax & Income
Calculate CGT on property, shares, and business assets using the latest 2026/27 rates. Covers the £3,000 annual exempt amount and Business Asset Disposal Relief.
Legal fees, improvements, selling costs, stamp duty paid on purchase
Used to determine how much basic-rate band remains for CGT
Capital Gains Tax due
£10,364
Gross gain £50,000 · Taxable £47,000 · Effective rate 20.73%
Basic-rate band available: £15,270
| Band | Taxable Amount | Rate | Tax |
|---|---|---|---|
| Basic rate (18%) | £15,270 | 18% | £2,749 |
| Higher rate (24%) | £31,730 | 24% | £7,615 |
| Total Capital Gains Tax | £10,364 | ||
Capital Gains Tax (CGT) is charged on the profit when you sell or dispose of an asset that has increased in value. It is the gain that is taxed, not the total proceeds. Selling shares for £30,000 that you bought for £20,000 creates a £10,000 gain. After deducting your annual exempt amount, only the remaining gain is taxable.
For 2026/27 the annual CGT exempt amount is £3,000. Gains below this threshold are tax-free each year. Above the exemption, basic-rate taxpayers pay 18% on property gains and 18% on other assets; higher and additional-rate taxpayers pay 24% on property and 24% on other assets. Gains are added on top of your taxable income to determine which rate applies, so a gain can straddle the basic and higher rate band.
Your main home is usually exempt through Private Residence Relief. Assets held in an ISA or pension are completely sheltered from CGT. Gifts between spouses or civil partners do not trigger CGT. Premium Bonds, gilts, and SAYE schemes are also exempt. Selling personal belongings (chattels) for less than £6,000 is exempt; above this, only gains over £6,000 are taxable.
Use your annual exempt amount each year. It cannot be carried forward, so unused allowance is lost. Bed-and-ISA (selling assets and immediately rebying them inside an ISA) shelters future growth tax-free. Transferring assets to a spouse before sale uses their exempt amount and potentially their lower tax rate. Timing disposals across two tax years can use two years of exempt amount on a large gain.