5. Work out if you need to pay
Work out your total taxable gains
Add together the gains from each asset.
Deduct any allowable losses.
The tax year runs from 6 April to 5 April the following year.
You’ll 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 don’t 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:
- the total amount you sold the assets for was more than 4 times your allowance
- you’re registered for Self Assessment
There are different rules for reporting a loss.
If you’re non-resident
You need to tell HMRC when you sell residential property even if your gain is below the tax-free allowance or you make a loss. Non-residents don’t pay tax on other capital gains.