Capital Gains Tax Returns
We are personal tax accountants and Chartered Tax Advisers, and we help individuals calculate, report & pay Capital Gains Tax whilst proactively look for tax-efficiency opportunities.
What is a Capital Gains Tax return?
If you sell or dispose of a property in the UK and make a gain, you may need to tell HMRC and pay Capital Gains Tax (CGT). This is done by filing a Capital Gains Tax property return:
UK residents must complete a CGT return only when selling or disposing of UK residential property (for example, a second home, a buy-to-let, or a property that hasn’t always been your main residence). If the gain is fully covered by reliefs, you don’t usually need to submit a return.
Non-UK residents must complete a CGT return for all UK property disposals – this includes both residential property (like houses and flats) and commercial property (such as offices, shops or warehouses). This applies whether you make a gain or a loss.
The return must be filed online and any tax due must be paid within 60 days of completion of the sale. Missing the deadline can lead to interest and penalties.
In short, a CGT property return is HMRC’s way of making sure tax on UK property sales is reported and paid quickly. Whether you’re UK-based or living abroad, it’s important to check if the rules apply to your sale.
What other assets are subject to Capital Gains Tax?
The disposal of an asset could be subject to Capital Gains Tax, unless that asset is considered exempt. Other than property, assets subject to Capital Gains Tax include:
Shares (unless held in an ISA)
Cryptoassets
Business assets
Personal assets (“chattels”) worth over £6,000 (cars are exempt from Capital Gains Tax)
How do you report & pay Capital Gains Tax?
If you sell a property or other asset and make a gain, you may need to pay Capital Gains Tax (CGT). The way you report and pay depends on the type of asset and your circumstances:
UK Property CGT Return – If you sell a UK residential property and CGT is due (or any UK property if you are non-UK resident, whether CGT is due or not), you must complete a Capital Gains Tax on UK property return and pay the tax within 60 days of completion.
Self-Assessment Tax Return – If you normally complete a Self-Assessment return, you’ll also need to include details of all capital gains for the tax year on your return. You must complete a Self-Assessment Tax Return and pay the tax by the 31st January following the end of the tax year. This ensures HMRC has a full record of your taxable income and gains. If you dispose of property (and have to report & pay the CGT within 60 days) and complete a Self-Assessment Tax Return, the property gain must be reported on the Self-Assessment Tax Return. but credit will be given for the Capital Gains Tax already paid.
Reporting on time is important to avoid interest and penalties. We can guide you through the process, calculate your tax liability, and ensure all deadlines are met.
How we can help you
Dealing with Capital Gains Tax can feel complex, but we’re here to make it straightforward. We will:
Calculate your gain accurately and check if any reliefs or exemptions apply
Prepare and file your Capital Gains Tax property return within the 60-day deadline
Include your gains in your Self-Assessment tax return, ensuring everything is reported correctly
Advise you in advance so you know what tax to expect and when it’s due
Our goal is to save you time, reduce stress, and make sure you never miss a deadline.
Contact Us
Please contact us to see how we can help you.
