Back
Let us sort your Self Assessment today. Stress-free. For £119, all in. Learn more

How much is the Capital Gains Tax on property?

If you sell a property for a profit, then you will have to pay Capital Gains Tax (CGT).

How much you actually pay then depends on two things:

  • what your total taxable income for the year is
  • how big was your profit from selling the property

Usually, Capital Gains Tax is 10% or 20%, but for properties it’s 18% or 28% of the profit instead.

How much will I pay?

You can simply use this Capital Gains Tax calculator to see what your tax bill could be:

Where did you get profits?
Profits from capital gains
£
Annual income
£
Outside of capital gains
Select tax year
Profits after tax
£18.5k
CGT
£1.5k
Profits from selling shares
£20,000
Capital Gains Tax (CGT)
£1,500

First £12,000 are tax-free.

£1,000 taxed at 10%: £100

£7,000 taxed at 20%: £1,400

Your profits after tax
£18,500

How your capital gains tax is calculated

Your total capital gains tax (CGT) owed depends on two main components:

  1. How much you earn in total
  2. What type of assets you sell

Your overall earnings determine how much of your capital gains are taxed at 10% or 20%.
Our capital gains tax rates guide explains this in more detail.

In your case where capital gains from shares were £20,000 and your total annual earnings were £69,000:

Capital gains tax (CGT) breakdown

You pay no CGT on the first £12,000 that you make

You pay £100 at 10% tax rate for the next £1,000 of your capital gains

You pay £1,400 at 20% tax rate on the remaining £7,000 of your capital gains

Are there any tax-free allowances or tax reliefs?

You don’t have to pay Capital Gains Tax on property when:

  • you’re selling your main home
  • if your profit is less than the £12,000 tax-free Capital Gains allowance
  • if you’ve made a capital loss on a buy-to-let property sold in a previous year

If you have let out either part or all of your home for a while, you can also apply for letting relief.

This will be the lowest of:

  • the gain you receive from the letting proportion of the home
  • or the amount of private residence relief you can claim
  • or £40,000.

What costs can I claim?

  • the price you bought the property for (of course)
  • stamp duty
  • any legal costs (solicitors’ or agents’ fees)
  • any improvements, refurbishing, extensions, etc.
  • but not maintenance or mortgage payments or interest.

What if it’s a jointly owned property?

Simple: if you own the property jointly, you each benefit from the £12,000 Capital Gains allowance.

What if I have more than one home?

You can nominate which one is your home. It doesn’t have to be where you live most of the time.

Married couples and civil partners can have only one main home between them.

Do I pay CGT if I give a property as a gift?

If it has increased in value since you bought it, yes – read more here.

Can TaxScouts help?

Of course.

We can simply calculate and file your property Capital Gains Tax as part of your Self Assessment tax return.

All done online and for a flat £119 – we won’t charge you anything extra for it.

More guides & useful information

Let us sort your Self Assessment online. £119, all in.

That’s right. No matter how complicated it gets or why you need to do a return in the first place, it’ll cost £119 to get it done. That includes VAT, last-minute changes and all the support you may need.

How it works

1. Answer a few simple questions

And we mean a few. After a couple of minutes of answering questions online we’ll have everything we need to start working on your tax return.

2. Then get paired with a tax accountant

That’s right, you’ll be matched with a real accountant who is best suited to prepare your return. Plus, they’re on hand for questions whenever you need.

3. We file your Self Assessment for you

Once you’ve signed off your return, your TaxScouts accountant will file your return online with HMRC. That’s it! We told you it was simple.