UK Capital Gains Tax Calculator

Understanding UK Capital Gains Tax (CGT)

Capital Gains Tax (CGT) is a tax levied by HMRC in the United Kingdom on the profit (gain) you make when you sell, transfer, or dispose of an asset that has increased in value. You are taxed on the profit made from the asset rather than the total amount of money received.

HMRC Annual Exempt Allowance and Tax Bands

Every individual in the UK is entitled to an annual tax-free Capital Gains Tax exemption allowance. Any profit up to this threshold is tax-free. Gains above the allowance are taxed based on your total taxable income and the type of asset sold.

UK Capital Gains Tax Rates

• Basic Rate Taxpayers: Taxed at 10% on gains from stocks, crypto, and general assets, and 18% on residential property gains.
• Higher & Additional Rate Taxpayers: Taxed at 20% on stocks and general assets, and 24% on residential property gains.

Capital Gains Tax Formulas

Calculate your capital gains tax using the following formulas:

$$\text{Total Gain} = \text{Disposal Value} - \text{Acquisition Cost} - \text{Allowable Deductions}$$

$$\text{Taxable Gain} = \max(0, \text{Total Gain} - \text{Annual Allowance})$$

$$\text{CGT Payable} = \text{Taxable Gain} \times \text{Tax Rate}$$