GeraCash / UK Capital Gains Tax / CGT rates
UK Capital Gains Tax rates 2025/26 — 18% and 24% explained
How the 18% and 24% Capital Gains Tax rates work, and how HMRC decides which one applies to your gain.
What are the UK Capital Gains Tax rates for 2025/26?
For 2025/26, UK Capital Gains Tax is charged at 18% on the part of a gain that falls within your basic-rate Income Tax band and 24% on the part above it. HMRC works this out by adding the gain (after the £3,000 annual exempt amount) on top of your taxable income — whatever still fits below the £50,270 basic-rate limit is taxed at 18%, and the rest at 24%.
There are two CGT rates for individuals: 18% and 24%. Which one applies is not decided by the size of the gain alone — it depends on how much of your basic-rate band is left after your income. The basic-rate band runs up to total income of £50,270, and the Personal Allowance is £12,570.
Since 30 October 2024, these same 18%/24% rates apply to both shares and residential property, so there is no longer a separate higher rate just for property gains. Trustees and personal representatives pay a flat 24%.
Worked example: a £20,000 gain for someone earning £40,000. After the £3,000 allowance the taxable gain is £17,000.00. Of that, £10,270.00 still fits inside the basic-rate band and is taxed at 18% (£1,848.60); the remaining £6,730.00 is taxed at 24% (£1,615.20). Total CGT: £3,463.80 — an effective 17.3% of the gain.
This page is information, not tax advice. Figures are the published HMRC rates for 2025/26.
Capital Gains Tax calculator
Enter your gain and other income to see the CGT due across the 18% and 24% bands.
Profit on the disposal, before the allowance
Salary etc. — decides the 18% vs 24% split
Total CGT due
£3,463.80
17.32% of the gain
Taxable gain
£17,000.00
after the £3,000.00 allowance
Gain after CGT
£16,536.20
what you keep
Uses HMRC's method: your gain (after the £3,000.00 annual exempt amount) is added on top of your taxable income — the part still inside the basic-rate band is taxed at 18%, the rest at 24%. Information only, not tax advice. Source: GOV.UK / HMRC — Capital Gains Tax: rates and annual exempt amount.
Frequently asked questions
- Is Capital Gains Tax 18% or 24%?
- Both — it depends where the gain sits. The part of your gain within the basic-rate band is taxed at 18%; the part above the £50,270 basic-rate limit is taxed at 24%. A single gain can be split across both rates.
- Does my salary affect my Capital Gains Tax rate?
- Yes. Your income uses up the basic-rate band first, then the gain stacks on top. The more you earn, the less of your gain is left to be taxed at 18%, so more falls into the 24% band.
- Have CGT rates changed recently?
- Yes — from 30 October 2024 the main rates became 18% and 24%, and residential property was aligned to the same rates. Source: GOV.UK / HMRC — Capital Gains Tax: rates and annual exempt amount.
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Data source
Contains public sector information published by HM Revenue & Customs and licensed under the Open Government Licence v3.0. Source: GOV.UK / HMRC — Capital Gains Tax: rates and annual exempt amount (Tax year 2025/26).
Rates and thresholds from GOV.UK / HMRC — Capital Gains Tax: rates and annual exempt amount. Retrieved 2026-07-01. Calculations by Gera from the published HMRC rates — no figures are estimated.
More on Capital Gains Tax
- Capital Gains Tax allowance (annual exempt amount) — The £3,000 tax-free Capital Gains Tax allowance every individual gets each year, and how it reduces the gain you pay tax on.
- Capital Gains Tax on property — How Capital Gains Tax applies to second homes and buy-to-let, why your main home is usually exempt, and the 18%/24% residential rates.
- Capital Gains Tax on shares — How Capital Gains Tax applies to shares and funds, the 18%/24% rates, and why ISA and pension holdings are exempt.