Answers · UK 2025/26
How much capital gains tax do I pay on £50,000 profit?
On a £50,000 gain in 2026/27, the first £3,000 is tax-free under the annual exempt amount, leaving £47,000 taxable. A basic-rate taxpayer pays 18% and a higher-rate taxpayer 24% on most assets — roughly £8,460 to £11,280 depending on your income.
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Capital Gains Tax (CGT) for 2026/27 has an annual exempt amount of just £3,000. On a £50,000 gain, £47,000 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 and second properties. Worked example: a higher-rate taxpayer with £50,000 gain pays 24% × £47,000 = £11,280. A basic-rate taxpayer with enough unused basic-rate band pays 18% × £47,000 = £8,460, but the gain itself often pushes part of it into the 24% band, so the effective bill lands in between. To find the split, add the gain to your income: any portion above £50,270 is taxed at 24%. CGT is reported and paid via Self Assessment, except UK residential property gains, which must be reported and paid within 60 days. Spouses can transfer assets between them tax-free to use both £3,000 allowances, effectively sheltering £6,000. CGT is a UK-wide tax, so Scottish residents pay the same CGT rates even though their Income Tax bands differ. Use the Capital Gains Tax calculator to compute your exact liability.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.