How to Report and Pay Tax on Capital Gains from UK Property

When is Capital Gains Tax (CGT) due on UK property?

For UK property disposals which are not your main home, capital gains tax (CGT) will be due on gains which exceed the annual exempt amount (AEA).

When does a gain on UK property have to be reported?

Since 6 April 2020, if you’re a UK resident, you have to report and pay any CGT due on the sale of UK residential property within 60 days of the completion date (increase from 30 days in Finance Bill 2022 for property completed on or after 27 October 2021). You do not have to report the gain if there is no tax due. If you’re a non-resident, you must report all sales or disposals of UK property, even if you have no tax to pay or have made a loss.

How are disposals of UK property reported within 60 days?

Currently, you have to use HMRC’s online services to report and pay CGT due on property disposals:

Report and Pay CGT if you’re UK resident

Report and Pay CGT if you’re non-resident

If you’re an agent, you’ll need to use your client’s Capital Gains Tax on UK Property account after requesting authorisation via your Agent Services Account.

If I complete a self-assessment return do I also need to complete a CGT return?

If you usually complete a self -assessment return, you will still need to complete a UK property return for a gain, even if the 30/60 window coincides with filing a return. In order to use the on-line services for filing the property return, it has to be filed before the self-assessment return, even if it is late. If a self-assessment return has already been filed, a paper copy of the return has to be filed, a copy of which has to be requested from HMRC (for contact details see below). Once you have completed a self-assessment return with final figures for your UK property disposal, a refund of CGT may be due but will not show as a credit against your self-assessment tax. How to ensure a timely refund of CGT explains why this is and the steps you should take to expedite a refund.

HMRC Capital Gains Tax contact details

Capital gains tax rates and allowances