UK Property Capital Gains Tax Returns

If you are non-resident for UK tax purposes, you may still be subject to UK Capital Gains Tax on disposals of UK property and land. A Non-Resident Capital Gains Tax return must usually be filed within 60 days of completion, even if no tax is due.

Both. Since 6 April 2019, non-resident Capital Gains Tax has applied to disposals of all UK land and property, not just residential. The reporting deadline and general rules are the same, though the rate charged on a gain can differ depending on whether the property is residential or commercial and, for companies, whether Corporation Tax rather than Capital Gains Tax applies.

In most cases the property is automatically "rebased" to its market value on the date non-resident Capital Gains Tax started applying to it — 6 April 2015 for residential property, or 6 April 2019 for commercial property and indirect disposals. This means you're generally only taxed on the gain arising from that rebasing date onwards, not on any growth in value from before then, although you can elect to use the original cost instead if that gives a better result.

Private Residence Relief can exempt some or all of the gain on a property that has been your main home. Non-residents can claim it, but only for tax years in which you or your spouse spent at least 90 midnights in that property — a stricter test than the one that applies to UK residents — so the relief is often reduced or unavailable for a property you no longer live in.

The Annual Exemption is a fixed amount that you can deduct from gains made in the year. For the 2026/27 UK tax year, the Annual Exemption is £3,000.

The rate of Capital Gains Tax payable depends on your other income and unused rate bands. Gains are taxed at 18% to the extent they fall within your unused basic rate band and 24% on any amount above it, so higher and additional rate taxpayers pay 24% on the whole gain. Your gain is added on top of your taxable UK income to work out how much falls within the basic rate band.

Yes. You can generally deduct costs such as estate agent and legal fees on the purchase and sale, and the cost of any capital improvements made to the property. Capital losses — including losses on other UK property disposals — can also be set against your gain, which can reduce or remove the tax due, though certain losses need to be reported to HMRC to be usable in future years.

If you are UK tax resident, your foreign gains are generally taxable in the UK, although relief may be available under the Foreign Income and Gains (FIG) regime or under a Double Tax Treaty. If you are UK tax non-resident, foreign gains are generally not taxable or reportable in the UK, although the temporary non-residence rules can bring certain gains back into charge if you return to the UK within five years.

Usually not, if you're non-resident and the shares are in an ordinary trading company. However, since April 2019, non-residents can be taxed on gains from selling shares in a "UK property-rich" company — broadly, one that derives at least 75% of its value from UK land — where you (with connected parties) hold at least a 25% interest. This is a commonly missed rule when a UK property is held through a company rather than personally.

Non-residents must file a Non-Resident Capital Gains Tax (NRCGT) return within 60 days of completion for all disposals of UK land and property. UK residents must file a CGT return within 60 days of completion of UK residential property where the sale generates a tax liability.

HMRC can charge automatic late filing penalties even if no tax is owed, starting at £100 and increasing the longer the return remains outstanding, plus interest on any tax paid late. This applies whether you simply weren't aware of the 60-day deadline or the sale was more complicated than expected — either way, it's worth getting the return filed as soon as possible to limit the penalties.