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Capital Gains Tax Calculator (Property)
Enter your purchase and sale price to estimate the CGT on selling a second home, buy-to-let or inherited property, including Private Residence Relief if you ever lived there.
Step 1 · The sale
Solicitor and agent fees, stamp duty paid when you bought, and money spent improving the property. Routine repairs and mortgage interest don't count.
Salary or profits before the gain. Decides how much of the gain is taxed at 18% rather than 24%.
Step 2 · Did you ever live there?
The final 9 months of ownership are automatically added as deemed occupation.
Only if you shared occupancy with a tenant. Most landlords don't qualify, so leave this at 0 unless you're sure, or ask us.
How is this calculated?
Your gain is sale price minus purchase price minus allowable costs (legal and agent fees, stamp duty on purchase, and money spent improving the property). If the property was ever your main home, Private Residence Relief exempts a proportion of the gain equal to the months you lived there plus an automatic final 9 months of ownership, divided by total months owned.
After reliefs, the first £3,000 of gain is exempt (the annual exempt amount). What's left is taxed at 18% within your remaining basic-rate band (based on your other taxable income this year, up to £50,270), and 24% above it.
These figures are for guidance only, based on 2026/27 rates for a single, sole-owned disposal with no other gains or losses that year. They don't account for jointly owned properties, inherited property base costs, or multiple disposals. Speak to us before making decisions.
How Capital Gains Tax works on a property sale
CGT applies when you sell a property that isn't exempt as your only home, such as a second home, buy-to-let or inherited property. The tax is on the gain, sale price minus purchase price minus allowable costs, not on the full sale price.
Quick example: a property bought for £150,000 and sold for £280,000 with £5,000 of allowable costs gives a gain of £125,000. With no Private Residence Relief and £30,000 of other income, that works out to roughly £28,064 of CGT. If the owner lived there for 24 of the 120 months they owned it, Private Residence Relief cuts the CGT to roughly £19,814.
Reporting and paying within 60 days
UK residential property gains with tax due must be reported and paid within 60 calendar days of completion, through HMRC's online Capital Gains Tax service. This is separate from your normal Self Assessment deadline, so don't wait until January to deal with it.
Want the deeper read? See our guide: How to Pay Capital Gains Tax Online After Sale.
What counts as an allowable cost
Allowable costs reduce your gain, so keep every receipt. Day-to-day repairs and maintenance do not count, but the following usually do:
- Solicitor, conveyancing and surveyor fees on buying and on selling.
- Estate agent fees and advertising costs on the sale.
- Stamp Duty Land Tax paid when you bought the property.
- Improvements that add lasting value, such as an extension or a new kitchen, but not routine decorating.
- The cost of establishing or defending your legal title to the property.
Ways to reduce a Capital Gains Tax bill
- Use both annual exempt amounts. A married couple or civil partners who own a property jointly each get their own £3,000, and transfers between spouses are usually tax free.
- Use the right band. If one owner has a lower income, more of their share of the gain is taxed at 18% rather than 24%.
- Claim every cost. Missing legal fees, stamp duty or improvement spend is the commonest way people overpay.
- Offset losses. Losses from selling other assets in the same year, or reported earlier, can reduce your gain.
- Time the sale. Completing in a different tax year can use another annual exempt amount, and change which band applies.
Inherited property
If you inherit a property and sell it, your starting figure is its market value on the date the person died (the probate value), not what they paid for it. Only the increase in value from that date is taxed, so selling soon after inheriting often leaves little or no gain. You also report and pay within 60 days of completion, in the same way as other residential property sales.
Not sure how your sale will be taxed? Ask our team to check the figures before you report.
Capital Gains Tax calculator FAQs
What is the Capital Gains Tax rate on property for 2026/27?
18% on any gain that falls within your remaining basic-rate band, and 24% above it. Which band you're in depends on your other taxable income this year, not just the gain itself.
What is Private Residence Relief and do I qualify?
If the property was ever your only or main home, the months you lived there, plus an automatic final 9 months of ownership (even if you'd already moved out), are exempt from CGT as a proportion of your total ownership period.
Can I still claim lettings relief?
Only if you shared occupancy with a tenant while it was your home. It was withdrawn for most landlords from April 2020. Where it does apply, it's capped at the lower of £40,000 or the Private Residence Relief already given.
How long do I have to report and pay CGT on a property sale?
60 days from the completion date, through HMRC's online Capital Gains Tax service. This is separate from your Self Assessment deadline, and missing it triggers its own late filing and payment penalties.
Do jointly owned properties get taxed differently?
Each owner reports their own share of the gain and has their own £3,000 annual exempt amount and rate bands. For a 50/50 joint ownership, this usually roughly halves the tax bill per person compared to one person owning it outright.
How accurate is this Capital Gains Tax calculator?
It covers a single, straightforward sole-owned property disposal for 2026/27. It doesn't account for other gains or losses in the same tax year, jointly owned properties, or inherited property base cost rules, so check more complex cases with an accountant.
Do I pay Capital Gains Tax on inherited property?
Only on any rise in value after the person died. Your starting figure is the market value at the date of death, so selling quickly after inheriting often means little or no CGT. Inheritance Tax is a separate matter.
Which costs can I deduct from my gain?
Legal and conveyancing fees, estate agent fees, stamp duty paid on buying, surveyor fees and the cost of genuine improvements. Routine repairs and maintenance cannot be deducted.
What if I sell the property at a loss?
You pay no CGT, and you should still tell HMRC. A loss can be set against gains in the same tax year or carried forward to offset future gains, but it must be reported within four years of the end of the tax year.
Do I pay CGT on my main home?
Normally not. Private Residence Relief removes the gain on a property that has been your only or main home throughout your ownership. Time spent letting it out, or living elsewhere, can mean part of the gain is taxable.
What is the annual exempt amount for 2026/27?
It is £3,000 per person. Your first £3,000 of gains in the tax year are tax free, and anything above it is taxed at 18% or 24% depending on your other income.
Based on 2026/27 rules. See GOV.UK: Capital Gains Tax.