Precision Utility
Capital Gains Tax
Property Calculator
Residential CGT Rates
18% / 24%
Tax Year
2025/26
Calculate the capital gains tax you owe on a UK residential property disposal. Enter your sale price, purchase price, improvement costs and selling costs to see your CGT liability instantly. The calculator uses 2025/26 HMRC rates — 18% for basic rate taxpayers and 24% for higher rate taxpayers — with the £3,000 annual exempt amount.
Property Details
Capital Gains Tax Due
£0
Total Gain
£0
Taxable Gain
£0
Effective Rate
0%
Net Proceeds
£0
No taxable gain: Your allowable costs exceed the sale price, so there is no capital gains tax to pay. You may be able to use this capital loss to offset gains on other disposals.
How the capital gains tax property calculator works
Enter the sale price you received (or expect to receive) for your residential property. Then enter the original purchase price, any allowable improvement costs such as extensions or renovations, and your selling costs including estate agent and solicitor fees.
The calculator subtracts the purchase price, improvement costs and selling costs from the sale price to determine your total capital gain. It then deducts the £3,000 annual exempt amount for 2025/26 (unless you tick the checkbox to indicate you have already used it on another disposal) to arrive at your taxable gain.
Select your income tax band to apply the correct CGT rate. Basic rate taxpayers pay 18% on residential property gains whilst higher and additional rate taxpayers pay 24%. The calculator shows your total gain, taxable gain, CGT due, effective tax rate and net proceeds after tax.
Capital gains tax on property in 2025/26
Capital gains tax applies when you sell a residential property that is not your main home for more than you paid for it. This includes buy-to-let properties, second homes, inherited properties and any home that no longer qualifies for Private Residence Relief.
Residential property CGT rates: For 2025/26, the rates are 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers. These rates are higher than those for other assets such as shares (10% and 20%) because residential property has separate CGT rate bands.
Allowable deductions: You can deduct costs that added value to the property, such as extensions, loft conversions and new kitchens. You can also deduct buying costs (solicitor fees, stamp duty), selling costs (estate agent fees, conveyancing) and the cost of any professional valuations. Normal maintenance and repairs are not allowable.
The 60-day reporting rule: Since April 2020, you must report and pay any CGT on UK residential property within 60 days of the completion date. This is done through HMRC’s Capital Gains Tax on UK property account. Missing the deadline can result in late filing penalties and interest charges.
Frequently asked questions
What are the CGT rates on residential property for 2025/26?
For 2025/26, capital gains tax on residential property is charged at 18% for basic rate taxpayers and 24% for higher or additional rate taxpayers. These rates apply to property that is not your main home, such as buy-to-let properties, second homes and inherited property you have never lived in.
What is main residence relief (Private Residence Relief)?
Private Residence Relief (PRR) means you do not pay capital gains tax when you sell your main home, provided it has been your only or main residence for the entire period of ownership. If you lived in the property for only part of the time you owned it, you receive relief for the period of occupation plus the final nine months of ownership.
What is the annual exempt amount for capital gains tax?
The annual exempt amount for 2025/26 is £3,000 per person. This is the amount of capital gains you can make each tax year before any CGT is due. It was reduced from £6,000 in 2023/24 and £12,300 in 2022/23. Married couples and civil partners each receive their own £3,000 allowance.
What is the reporting deadline for property CGT?
You must report and pay capital gains tax on UK residential property within 60 days of the completion date. This is done through HMRC’s online CGT on UK property service. If you miss the 60-day deadline, you may face a late filing penalty and interest on the tax owed.
What is letting relief and who qualifies?
Letting relief is available if you let out a property that was at some point your main home and you are also claiming Private Residence Relief. The relief is capped at the lower of £40,000, the amount of PRR already due, or the gain attributable to the letting period. Since April 2020, you must have shared occupation with your tenant to qualify.
How can I reduce capital gains tax on property?
You can reduce your CGT bill by deducting allowable costs such as improvement expenditure (extensions, renovations), legal fees, estate agent fees and stamp duty paid on purchase. Transferring a share to your spouse or civil partner before sale effectively doubles the annual exempt amount. You may also qualify for Private Residence Relief or letting relief depending on how you used the property.