You pay Capital Gains Tax on the gain when you sell (or 바카라 사이트� dispose of 바카라 사이트�): most personal possessions worth 拢6,000 or more, apart from your car property that바카라 사이트檚 not your main home your main home if you바카라 사이트檝e let it out, used it for business or it바카라 사이트檚 very large any shares that are not in an ISA or PEP business assets These are known as 바카라 사이트榗hargeable assets바카라 사이트�. If you sell or give away cryptoassets (like cryptocurrency or bitcoin) you should check if you have to pay Capital Gains Tax . Depending on the asset, you may be able to reduce any tax you pay by claiming a relief. If you dispose of an asset you jointly own with someone else, you have to pay Capital Gains Tax on your share of the gain. When you do not pay it You only have to pay Capital Gains Tax on your total gains above an annual tax-free allowance . You do not usually pay tax on gifts to your husband, wife, civil partner or a charity. What you do not pay it on You do not pay Capital Gains Tax on certain assets, including any gains you make from: ISAs or PEPs UK government gilts and Premium Bonds betting, lottery or pools winnings When someone dies When you inherit an asset, Inheritance Tax is usually paid by the estate of the person who바카라 사이트檚 died. You only have to work out if you need to pay Capital Gains Tax if you later dispose of the asset. Overseas assets You may have to pay Capital Gains Tax even if your asset is overseas. There are special rules if you바카라 사이트檙e a UK resident but your permanent home is not in the UK. If you바카라 사이트檙e abroad You have to pay tax on gains you make on property and land in the UK even if you바카라 사이트檙e non-resident for tax purposes . You do not pay Capital Gains Tax on other UK assets, for example shares in UK companies, unless either: you return to the UK within 5 years of leaving you sell shares in a company that is 바카라 사이트楿K property rich바카라 사이트� and you meet the conditions for an indirect disposal A company is UK property rich if 75% or more of the gross asset value of the company is UK land. Find out more about selling or disposing of property and land in the UK to check if you바카라 사이트檙e making an indirect disposal.

Capital Gains Tax allowances

You only have to pay Capital Gains Tax on your overall gains above your tax-free allowance (called the Annual Exempt Amount). The Capital Gains tax-free allowance is: 拢3,000 拢1,500 for trusts You can see tax-free allowances for previous years . You may also be able to reduce your tax bill by deducting losses or claiming reliefs - this depends on the asset .

Gifts to your spouse or charity

There are special rules for Capital Gains Tax on gifts or assets you dispose of to: your spouse or civil partner charity The normal rules apply for gifts to others. Your spouse or civil partner You do not pay Capital Gains Tax on assets you give or sell to your husband, wife or civil partner, unless: you separated and did not live together at all in that tax year you gave them goods for their business to sell on The tax year is from 6 April to 5 April the following year. If they later sell the asset Your spouse or civil partner may have to pay tax on any gain if they later dispose of the asset. Their gain will be calculated on the difference in value between when you first owned the asset and when they disposed of it. If this was before April 1982, your spouse or civil partner should work out their gain using the market value on 31 March 1982 instead. They should keep a record of what you paid for the asset . Gifts to charity You do not have to pay Capital Gains Tax on assets you give away to charity. You may have to pay if you sell an asset to charity for both: more than you paid for it less than market value Work out your gain using the amount the charity actually pays you, rather than the value of the asset.

Work out if you need to pay

You need to pay Capital Gains Tax when you sell an asset if your total taxable gains are above your annual Capital Gains Tax allowance . Work out your total taxable gains Work out the gain for each asset (or your share of an asset if it바카라 사이트檚 jointly owned). Do this for the personal possessions , shares or investments , UK property or business assets you바카라 사이트檝e disposed of in the tax year. Add together the gains from each asset. Deduct any allowable losses . The tax year runs from 6 April to 5 April the following year. You바카라 사이트檒l need to report and pay Capital Gains Tax if your taxable gains are above your allowance. If your total gains are less than the tax-free allowance You do not have to pay tax if your total taxable gains are under your Capital Gains Tax allowance . You still need to report your gains in your tax return if both of the following apply: 바카라 사이트� the total amount you sold the assets for was more than 拢50,000 바카라 사이트� you바카라 사이트檙e registered for Self Assessment These rules apply from the 2023 to 2024 tax year onwards. For the tax years before 2023 to 2024, you need to report your gains in your tax return if both of the following apply: 바카라 사이트� the total amount you sold the assets for was more than 4 times your allowance 바카라 사이트� you바카라 사이트檙e registered for Self Assessment There are different rules for reporting a loss . If you바카라 사이트檙e non-resident You need to tell HMRC when you sell property or land even if your gain is below the tax-free allowance or you make a loss. Non-residents do not pay tax on other capital gains.

Reporting and paying Capital Gains Tax

You do not get a bill for Capital Gains Tax. You must work out if your total gains are above your tax-free allowance . If your total taxable gains are above your allowance, you바카라 사이트檒l need to report and pay Capital Gains Tax . You may get tax relief if you sold a property that was your main home . When to report and pay You must report any capital gains and pay any money you owe by the deadline. Date of sale (or 바카라 사이트榙isposal바카라 사이트�) When you must report and pay If you sold a residential property in the UK with a completion date on or after 27 October 2021 Within 60 days If you sold a residential property in the UK with a completion date between 6 April 2020 and 26 October 2021 Within 30 days If you have other gains to report In the tax year after you sold or disposed of an asset if you use a Self Assessment tax return . If you바카라 사이트檙e eligible, you may be able to use the 바카라 사이트榬eal time바카라 사이트� Capital Gains Tax service to report by 31 December in the tax year after the sale Do not wait until the next tax year to report gains on UK residential property sold since 6 April 2020 . You may have to pay interest and a penalty if you do. If you바카라 사이트檙e not resident in the UK You must report all sales of UK property or land (residential and non-residential) if you바카라 사이트檙e not a UK resident, even if you have no tax to pay.

Capital Gains Tax rates

You may pay a different rate of tax on gains from residential property than you do on other assets for disposals on or before 29 October 2024. You do not usually pay tax when you sell your home . If you pay higher rate Income Tax If you바카라 사이트檙e a higher or additional rate taxpayer , the amount you pay will depend on the date and type of your gain. Gains from 6 April 2025 onwards聽 You바카라 사이트檒l pay: 24% on your gains from residential property 32% on your gains from바카라 사이트� 바카라 사이트榗arried interest바카라 사이트� 바카라 사이트痠f you manage an investment fund 24% on your gains from other chargeable assets You can see the rates and allowance for previous years . If you pay basic rate Income Tax If you바카라 사이트檙e a바카라 사이트� basic rate taxpayer , the rate you pay depends on the size of your gain, your taxable income and whether your gain is from residential property or other assets. Gains from 6 April 2025 onwards聽 You바카라 사이트檒l pay:聽聽 18% on your gains from residential property 32% on your gains from바카라 사이트� 바카라 사이트榗arried interest바카라 사이트� 바카라 사이트痠f you manage an investment fund 18% on your gains from other chargeable assets You can see the바카라 사이트� rates and allowance for previous years . To work out your rate:聽 Work out how much바카라 사이트� taxable income you have - this is your income minus your Personal Allowance and any other바카라 사이트� Income Tax reliefs you바카라 사이트檙e entitled to. Work out your total taxable gains . Deduct your tax-free allowance 바카라 사이트痜rom your total taxable gains. Add this amount to your taxable income. If this amount is within the basic Income Tax band , you바카라 사이트檒l pay 18% on your gains made from 6 April 2025 (or 32% on carried interest). For any amount above the basic Income Tax band, you바카라 사이트檒l pay 24% on gains made from 6 April 2025 (or 32% on carried interest). Example 1 You make a gain (not from carried interest) on or after 6 April 2025. Your taxable income (your income minus your Personal Allowance and any Income Tax reliefs) is 拢20,000 and your taxable gains are 拢12,600.바카라 사이트�바카라 사이트� First, deduct the Capital Gains tax-free allowance from your taxable gain. For the 2025 to 2026 tax year the allowance is 拢3,000, which leaves 拢9,600 to pay tax on.바카라 사이트� Add this to your taxable income. Because the combined amount of 拢29,600 is less than 拢37,700 (the basic rate band for the 2025 to 2026 tax year), you pay Capital Gains Tax at 18%.바카라 사이트�바카라 사이트� This means you바카라 사이트檒l pay 拢1,728 in Capital Gains Tax. Example 2 You make a gain (not from carried interest) on or after 6 April 2025. Your taxable income (your income minus your Personal Allowance and any Income Tax reliefs) is 拢20,000 and your taxable gains are 拢52,600. First, deduct the Capital Gains tax-free allowance from your taxable gain. For the 2025 to 2026 tax year the allowance is 拢3,000, which leaves 拢49,600 to pay tax on.바카라 사이트� Add this to your taxable income. Because the combined amount of 拢69,600 is more than 拢37,700 (the basic rate band for the 2025 to 2026 tax year), you will pay Capital Gains Tax at 18% on 拢30,270 and then 24% on 拢19,330. This means you will pay 拢10,087.80. If you have gains from both residential property and other assets You can use your tax-free allowance against the gains that would be charged at the highest rates (for example where you would pay 24% or 32% tax). You can see the rates and allowance for previous years . If you바카라 사이트檙e a trustee, personal representative or business Trustees 바카라 사이트痮r personal representatives of someone who바카라 사이트檚 died from 6 April 2025 pay: 24% on residential property 24% on other chargeable assets Personal representatives of someone who바카라 사이트檚 died pay 32% on carried interest. From 6 April 2025 you바카라 사이트檒l pay 14% if you바카라 사이트檙e a sole trader or partnership and your gains qualify for바카라 사이트� Business Asset Disposal Relief . You can see the rates and allowance for previous years .

You can report losses on a chargeable asset to HM Revenue and Customs ( HMRC ) to reduce your total taxable gains . Losses used in this way are called 바카라 사이트榓llowable losses바카라 사이트�. Using losses to reduce your gain When you report a loss, the amount is deducted from the gains you made in the same tax year. If your total taxable gain is still above the tax-free allowance , you can deduct unused losses from previous tax years. If they reduce your gain to the tax-free allowance, you can carry forward the remaining losses to a future tax year. Reporting losses Claim for your loss by including it on your tax return. If you바카라 사이트檝e never made a gain and are not registered for Self Assessment, you can write to HMRC instead. You do not have to report losses straight away - you can claim up to 4 years after the end of the tax year that you disposed of the asset. There바카라 사이트檚 an exception for losses made before 5 April 1996, which you can still claim for. You must deduct these after any more recent losses. Losses when disposing of assets to family and others Your husband, wife or civil partner You usually do not pay Capital Gains Tax on assets you give or sell to your spouse or civil partner . You cannot claim losses against these assets. Other family members and 바카라 사이트榗onnected people바카라 사이트� You cannot deduct a loss from giving, selling or disposing of an asset to a family member unless you바카라 사이트檙e offsetting a gain from the same person. This also applies to 바카라 사이트榗onnected people바카라 사이트� like business partners. Connected people HMRC defines connected people as including: your brothers, sisters, parents, grandparents, children and grandchildren, and their husbands, wives or civil partners the brothers, sisters, parents, grandparents, children and grandchildren of your husband, wife or civil partner - and their husbands, wives or civil partners business partners a company you control trustees where you바카라 사이트檙e the 바카라 사이트榮ettlor바카라 사이트� (or someone connected to you is) Claiming for an asset that바카라 사이트檚 lost its value You can claim losses on assets that you still own if they become worthless or of 바카라 사이트榥egligible value바카라 사이트�. HMRC has guidance on how to make a negligible value claim . Special rules HMRC has guidance on the special rules for losses: when someone dies if you바카라 사이트檙e non-resident and sell UK property or land if you바카라 사이트檝e temporarily lived abroad as a 바카라 사이트� non-resident 바카라 사이트� from your income on shares that are unquoted or in the Enterprise Investment Scheme on overseas assets if you바카라 사이트檙e 바카라 사이트榥on-domiciled바카라 사이트� in the UK and have claimed the 바카라 사이트榬emittance basis바카라 사이트�

You need to collect records to work out your gains and fill in your tax return. You must keep them for at least a year after the Self Assessment deadline . You바카라 사이트檒l need to keep records for longer if you sent your tax return late or HM Revenue and Customs ( HMRC ) have started a check into your return. Businesses must keep records for 5 years after the deadline. Records you바카라 사이트檒l need Keep receipts, bills and invoices that show the date and the amount: you paid for an asset of any additional costs like fees for professional advice, Stamp Duty, improvement costs, or to establish the market value you received for the asset - including things like payments you get later in instalments, or compensation if the asset was damaged Also keep any contracts for buying and selling the asset (for example from solicitors or stockbrokers) and copies of any valuations. If you do not have records You must try to recreate your records if you cannot replace them after they바카라 사이트檝e been lost, stolen or destroyed. If you fill in your tax return using recreated records, you바카라 사이트檒l need to show where figures are: estimated - that you want HMRC to accept as final provisional - that you바카라 사이트檒l update later with the actual figures

Your gain is usually the difference between what you paid for your asset and what you sold it for. There are some situations where you use the market value instead. Situation Use market value at Gifts Date of gift Assets sold for less than they were worth to help the buyer Date of sale Inherited assets where you do not know the Inheritance Tax value Date of death Assets owned before April 1982 31 March 1982 Checking the market value HM Revenue and Customs ( HMRC ) can check your valuation. After you바카라 사이트檝e disposed of the asset, complete a 바카라 사이트� Post-transaction valuation check 바카라 사이트� form. Return it to the address on the form - allow at least 3 months for HMRC 바카라 사이트檚 response.

Capital Gains Tax: what you pay it on, rates and allowances

Overview

Capital Gains Tax is a tax on the profit when you sell (or 바카라 사이트榙ispose of바카라 사이트�) something (an 바카라 사이트榓sset바카라 사이트�) that바카라 사이트檚 increased in value.

It바카라 사이트檚 the gain you make that바카라 사이트檚 taxed, not the amount of money you receive. For example, if you bought a painting for 拢5,000 and sold it later for 拢25,000, you바카라 사이트檝e made a gain of 拢20,000 (拢25,000 minus 拢5,000).

Some assets are tax-free. You also do not have to pay Capital Gains Tax if all your gains in a year are under your tax-free allowance.

If you sold a UK residential property on or after 6 April 2020 and you have tax on gains to pay, you can report and pay using a Capital Gains Tax on UK property account.

This guide is also available in Welsh (Cymraeg).

Disposing of an asset

Disposing of an asset includes:

selling it
giving it away as a gift, or transferring it to someone else
swapping it for something else
getting compensation for it - like an insurance payout if it바카라 사이트檚 been lost or destroyed

View a printable version of the whole guide

Capital Gains Tax: what you pay it on, rates and allowances

Overview

Disposing of an asset

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Capital Gains Tax: what you pay it on, rates and allowances

Overview

Disposing of an asset

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