CGT UK Calculator – Property & Shares, 2026/27

Asset type	Basic rate taxpayer	Higher rate taxpayer	Notes
Residential property	18%	24%	Oct 2024 Budget rates
Shares, funds, other	18%	24%	Rate increased Oct 2024
Business Asset Disposal Relief (2026/27)	18% flat	18% flat	£1M lifetime limit. Was 14% (2025/26), 10% (2024/25)
BADR history	10% (pre-Apr 2025)	14% (2025/26)	18% (2026/27 onwards)
Annual exempt amount	£3,000	£3,000	2024/25 (was £6,000 in 2023/24)
Reporting deadline	60 days (property)	Tax return (other)	Property: 60 days from completion

Feature	LazyTools	Which?	TaxCalc	HMRC online
October 2024 Budget rates	✓ Yes	✗	✓	✗
BADR calculation	✓ Yes	✓	✗	✗
Prior year losses	✓ Yes	✗	✗	✗
Income-based rate split	✓ Yes	✓	✓	✗
Annual exempt amount	✓ Yes	✓	✓	✓
Free, no registration	✓ Yes	✓	✗	✓

📖 Complete guide

Capital Gains Tax UK Calculator: Complete Guide

Capital Gains Tax is charged on profits when you sell assets that have increased in value. Understanding the 2026/27 rates, thresholds, and reliefs is essential for both tax planning and compliance, particularly following the significant changes made in the October 2024 Budget.

CGT rates changed in October 2024 Budget

Chancellor Rachel Reeves changed CGT rates in the October 2024 Budget: the higher rate on residential property decreased from 28% to 24%, while rates on shares and other assets increased from 10%/20% to 18%/24% - wait, let us be precise. The correct 2026/27 position after the Budget is: residential property 18% basic / 24% higher (unchanged from pre-Budget on basic, reduced from 28% on higher); shares and other assets 18% basic / 24% higher from 30 October 2024. The previous rates of 10%/20% applied up to 30 October 2024. Use this calculator with the current post-Budget rates.

How CGT interacts with income tax

Your capital gains are added to your income to determine the CGT rate. If your income fills the basic rate band (up to £50,270), gains that fall within the remaining basic rate band are taxed at the lower rate; gains above the basic rate band use the higher rate. This means a basic rate taxpayer with a large capital gain may pay CGT at both rates on the same disposal.

The annual exempt amount: use it wisely

The £3,000 annual exempt amount resets each 6 April. It cannot be transferred to a spouse (though spouses each have their own exemption), carried back to previous years, or carried forward. Strategic planning around the annual exemption - for example, bed and ISA arrangements to crystallise gains within the exemption each year - can significantly reduce lifetime CGT liability. With the exemption now at £3,000 compared to £12,300 three years ago, this planning opportunity has diminished but remains relevant.

Business Asset Disposal Relief: key qualifying conditions

BADR requires: the business has been a trading company (not investment company) for at least 2 years; you have been a director or employee and held at least 5% of the ordinary shares and 5% of the voting rights for 2 years. The £1 million lifetime limit applies. BADR rate for 2026/27 is 18% (aligned with basic CGT rate). The relief saves 6 percentage points vs the 24% higher rate on the first £1M of qualifying gain - for 2026/27 the rate is 18%, meaning BADR now only protects against the 24% higher rate — saving 6p per qualifying pound.

CGT planning strategies

Key strategies: (1) Use ISA wrapper - gains within an ISA are completely exempt. (2) Transfer assets to spouse before sale to use both annual exemptions. (3) Crystallise losses in the same tax year as gains to offset. (4) Time large gains across two tax years to use two annual exemptions. (5) Consider pension contributions to reduce income and push more gains into the basic rate band. (6) EIS/SEIS reinvestment relief can defer or reduce CGT on qualifying business investments.

Frequently asked questions

What is the annual CGT exempt amount for 2026/27?

The Capital Gains Tax annual exempt amount is £3,000 for 2026/27, reduced from £6,000 in 2023/24 and £12,300 in 2022/23. This means the first £3,000 of net gains in a tax year is completely tax-free. You cannot carry forward unused annual exemptions - each year's exemption is use-it-or-lose-it.

What are the CGT rates for residential property in 2026/27?

Residential property gains (excluding your main home which qualifies for Private Residence Relief) are taxed at 18% for basic rate taxpayers and 24% for higher and additional rate taxpayers. These rates were changed in the October 2024 Budget, which increased the higher rate from 28% to 24%. The basic rate for property also changed from 18% (it returned to 18% from 18% - unchanged).

What are CGT rates for shares and other assets in 2026/27?

Capital gains on shares, funds, and other non-residential property assets are taxed at 10% for basic rate taxpayers and 20% for higher and additional rate taxpayers. Your total taxable income plus the capital gain determines whether you are a basic or higher rate taxpayer for CGT purposes.

What is Business Asset Disposal Relief (BADR)?

Business Asset Disposal Relief (formerly Entrepreneurs Relief) allows eligible business owners to pay a flat 10% CGT on lifetime gains up to £1 million when selling qualifying business assets, shares in a personal trading company, or assets used in a business that is ceasing. You must have owned the business for at least 2 years. BADR rates: 10% for disposals to 5 April 2025; 14% for disposals 6 April 2025 to 5 April 2026; 18% from 6 April 2026 (2026/27 current rate). Source: gov.uk/guidance/capital-gains-tax-rates-and-allowances

How do prior year capital losses reduce CGT?

Capital losses from previous tax years can be carried forward indefinitely to offset future gains. You must use losses to reduce gains down to the annual exempt amount - you cannot choose to leave gains below the exemption untouched while preserving losses for future years. Always register losses with HMRC even if you have no tax to pay in the year they arose.

Do I need to report CGT to HMRC?

Yes - if you sell UK residential property you must report gains and pay CGT within 60 days of completion using HMRC's UK Property online service. For other assets (shares etc.), report through Self Assessment. You must report even if your gain is below the annual exemption if your total proceeds exceed 4 times the annual exempt amount (£12,000 in 2026/27).

Is my home subject to Capital Gains Tax?

Your main residence is generally exempt from CGT through Private Residence Relief. If you have only ever used the property as your main home, the entire gain is exempt. The last 9 months of ownership are always exempt even if you have moved out. Partial exemptions apply if you rented out part of the property, used part for business, or had periods of absence.

What is the CGT on inherited property?

Inherited property receives a CGT base cost of the probate value (market value at date of death). You only pay CGT on gains above this value when you sell. The original purchase price paid by the deceased is irrelevant for your CGT calculation. If the property has fallen in value between probate and sale, you have an allowable CGT loss.

How to use this calculator for tax planning

Financial calculations are most valuable when used proactively - before making decisions, not after. Use this calculator to model different scenarios: what happens if you increase the investment amount by 20%? What if the tenure changes by 5 years? What if the interest rate moves by 1%? Scenario modelling with a calculator is free and takes minutes, but the decisions it informs can save or earn lakhs of rupees over a lifetime. Revisit your calculations annually as rates, tax rules, and personal circumstances change - the financial landscape in India evolves significantly year to year.

Regulatory and rate changes to watch in 2024-25

The financial year 2024-25 has seen significant changes affecting personal finance calculations in India and the UK. In India: Union Budget July 2024 increased LTCG rate to 12.5% and exemption to Rs.1.25 lakh; STCG on equity increased to 20%; small savings scheme rates have been stable since January 2024. In the UK: April 2024 saw employee NI reduce from 12% to 8% and self-employed Class 4 reduce from 9% to 6%; CGT rates on residential property changed to 18%/24% following the October 2024 Budget. Always verify current rates with official sources (income tax India: incometax.gov.in; HMRC UK: gov.uk/government/organisations/hm-revenue-customs) before making significant financial decisions.

Common mistakes in personal finance calculations

The most common errors in personal financial planning: (1) Using pre-tax return rates when the investment is taxable - always compare on a post-tax basis. (2) Ignoring inflation when planning long-term goals - Rs.10 lakh needed in 20 years requires Rs.32 lakh at 6% inflation. (3) Not accounting for charges: expense ratio on mutual funds, processing fee on loans, and withdrawal penalties on fixed income instruments all reduce actual returns. (4) Planning for best-case returns rather than conservative estimates - model at 10% return, not 15%, for long-term equity SIP projections. (5) Treating past performance as future guarantee - historical equity fund returns have been volatile decade to decade.

Privacy and data security

All calculations on LazyTools run entirely in your browser using JavaScript. No input data - salary, investment amounts, loan details, or personal information - is transmitted to any server, stored in any database, or shared with any third party. The calculator works offline once the page has loaded (except Google Fonts). LazyTools is monetised through Google AdSense display advertising, which uses advertising cookies independent of calculator functionality. If you prefer completely ad-free use, your browser's reading mode or a content blocker will hide the ad units without affecting the calculator.

Linking this calculator to your broader financial plan

No single financial calculator exists in isolation. Take-home pay calculations feed into EMI affordability checks. Loan EMI calculations feed into investment capacity planning. Investment corpus calculations feed into retirement income planning. Use the related tools linked below to build a complete picture of your financial position. A comprehensive financial plan typically covers: income and tax optimisation (salary structure, HRA, 80C investments); debt management (home loan, car loan, personal loan); medium-term savings (SIP, ELSS, PPF, RD); and long-term retirement planning (EPF, NPS, SSY for daughter). Each LazyTools calculator addresses one piece of this puzzle.

Legislation and government sources (2026/27 tax year)

This calculator uses rates and rules from the following Acts of Parliament and HMRC guidance documents. All rates are for the 2026/27 tax year (6 April 2026 to 5 April 2027) unless stated otherwise. Verify current rates at gov.uk before making significant financial decisions:

Disclaimer: This calculator provides mathematical calculations only and does not constitute financial, tax, or legal advice. Rates correct as at May 2026 (2026/27 tax year). Consult a qualified accountant, tax adviser, or financial planner for advice specific to your circumstances.

Capital Gains Tax UK Calculator 2026/27

Capital Gains Tax UK Calculator Tool

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