Capital Gains Tax rates and allowances
Use these rates and allowances for Capital Gains Tax to work out your overall gains above your tax-free allowance (known as the annual exempt amount).
You’ll get an annual tax-free allowance, known as the annual exempt amount (AEA), if you’re liable to Capital Gains Tax every tax year unless you’re non-domiciled in the UK and have claimed the remittance basis of taxation on your foreign income and gains.
You only pay Capital Gains Tax if your overall gains for the tax year (after deducting any losses and applying any reliefs) are above the annual exempt amount.
There’s one annual exempt amount for:
- most individuals who live in the UK
- executors or personal representatives of a deceased person’s estate
- trustees for disabled people
A lower rate of annual exempt amount applies for most other trustees.
Non-residents who dispose of a UK residential property are liable to Capital Gains Tax and, in most cases, can claim the annual exempt amount in the same way as UK residents. This is not available to companies who dispose of a UK residential property, as they may be able to claim other allowances.
Annual exempt amount limits
You can use your annual exempt amount against the gains charged at the highest rates to reduce the amount of tax you owe.
| Tax year | Annual exempt amount for individuals, personal representatives and trustees for disabled people | Annual exempt amount for other trustees |
|---|---|---|
| 2024 to 2025 | £3,000 | £1,500 |
| 2023 to 2024 | £6,000 | £3,000 |
| 2022 to 2023 | £12,300 | £6,150 |
| 2021 to 2022 | £12,300 | £6,150 |
| 2020 to 2021 | £12,300 | £6,150 |
| 2019 to 2020 | £12,000 | £6,000 |
Executors and personal representatives
If you’re acting as an executor or personal representative for a deceased person’s estate, you may get the full annual exempt amount during the administration period.
The administration period is the time it takes to settle the deceased person’s affairs, from the day after the death until the date everything has been passed on to beneficiaries.
You’re entitled to the annual exempt amount for the tax year in which the death occurred and the following 2 tax years. This means one annual exempt amount against gains in each of those years. After that there’s no tax-free allowance against gains during the administration period.
Find out more about dealing with the estate of someone who’s died.
Trustees for disabled people
If you’re acting as a trustee for a disabled person use the ‘Individuals, personal representatives and trustees for disabled people’ rates shown in the annual exempt amount table.
For Capital Gains Tax purposes, a disabled person is a person who has mental health problems, or gets the middle or higher rate of Attendance Allowance or Disability Living Allowance.
Find out more about Capital Gains Tax and trusts.
If you’re non-domiciled in the UK
You will not get the annual exempt amount if you’re non-domiciled in the UK and you’ve claimed the remittance basis of taxation on your foreign income and gains.
You may be non-domiciled in the UK if you were born in another country and intend to return there, for example.
You may have claimed the remittance basis if you have income and gains from abroad and have decided that it’s beneficial to be taxed on the foreign income and gains that you bring into the UK, rather than on all income and gains that arise.
Issues of domicile and tax on foreign gains are complicated. A lot depends on the facts of each case.
To find out more read Residence, domicile and the remittance basis: RDR1, and contact HMRC if you have any questions.
Rates for Capital Gains Tax
The Capital Gains Tax rate you use depends on the total amount of your taxable income, so work that out first.
6 April 2024 onwards
The following Capital Gains Tax rates apply:
- 10% and 20% for individuals (not including residential property gains and carried interest gains)
- 18% and 24% for individuals for residential property gains
- 18% and 28% for individuals for carried interest gains
- 20% for trustees (not including residential property gains)
- 24% for trustees for residential property gains
- 20% for personal representatives of someone who has died (not including residential property gains and carried interest gains)
- 24% for personal representatives of someone who has died for residential property gains
- 28% for personal representatives of someone who has died for carried interest gains
- 10% for gains qualifying for Business Asset Disposal Relief
6 April 2019 to 5 April 2024
The following Capital Gains Tax rates apply:
- 10% and 20% for individuals (not including residential property gains and carried interest gains)
- 18% and 28% for individuals for residential property gains and carried interest gains
- 20% for trustees (not including residential property gains)
- 28% for trustees for residential property gains
- 20% for personal representatives of someone who has died (not including residential property gains and carried interest gains)
- 28% for personal representatives of someone who has died for residential property gains and carried interest gains
- 10% for gains qualifying for Business Asset Disposal Relief — previously known as Entrepreneurs Relief
Last updated 6 April 2024 + show all updates
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Annual exempt amount limits and rates for Capital Gains Tax have been updated for the 2024 to 2025 tax year.
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Annual exempt amount limits have been updated.
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Annual exempt amount limits have been added for 2022 to 2023.
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AEA limits have been added for 2020 to 2021.
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First published.