Answers · UK 2025/26

How much capital gains tax do I pay on £250,000 profit?

On a £250,000 gain in 2026/27, the first £3,000 is tax-free, leaving £247,000 taxable. For almost all taxpayers this entire amount is taxed at the 24% rate, giving a bill of £59,280, since a gain this large sits far above the basic-rate band once stacked on income.

Last updated: 10 July 2026Last reviewed: 10 July 2026How we verify

Full answer

Capital Gains Tax (CGT) for 2026/27 has an annual exempt amount of £3,000. On a £250,000 gain, £247,000 is taxable. The rate depends on where the gain sits when stacked on top of your income: 18% within the basic-rate band and 24% above it for most assets, including shares, second properties and buy-to-let disposals. A gain of this size will, for almost everyone, sit entirely above the £50,270 higher-rate threshold once added to income, so the full £247,000 is typically taxed at 24%, giving a bill of £59,280. Gains at this level make tax planning particularly worthwhile: spreading a disposal across two tax years (for example, selling half a shareholding in March and the rest in April) uses two separate £3,000 annual exemptions and potentially two basic-rate bands; married couples can transfer assets between them tax-free before sale to use both partners' allowances; and business owners disposing of qualifying trading business assets or shares in their own company should check eligibility for Business Asset Disposal Relief, which charges a flat 18% up to a £1 million lifetime limit. UK residential property gains, including buy-to-let sales, must be reported and paid within 60 days of completion using HMRC's property service, rather than waiting for Self Assessment. Use the Capital Gains Tax calculator to model your exact position.