Non-Resident CGT on UK Property 2026: Rates, Rules and the 60-Day Deadline

If you live outside the UK but own property here, selling it triggers UK Capital Gains Tax -- regardless of where you are tax resident. The rules have been tightened considerably, and the 60-day reporting window leaves very little room for delay. This guide covers everything non-residents need to know about CGT on UK property disposals in 2026, including the 24% rate, the 60-day obligation, and how to reduce your bill legitimately.

What Is NRCGT?

Non-Resident Capital Gains Tax (NRCGT) was introduced in April 2015 for residential property and extended in April 2019 to cover all UK land and property. Before 2015, non-residents could sell UK property completely free of CGT. That exemption is firmly closed.

NRCGT applies to:

• UK residential property (houses, flats, buy-to-let)
• UK commercial property and bare land (since April 2019)
• Shares in UK property-rich companies (since April 2019)

If you are not UK tax resident and you dispose of any of the above, you have a reporting obligation even if no tax is owed.

The CGT Rate for Non-Residents in 2026

Following the October 2024 Budget, a single flat rate of 24% applies to non-resident individuals on UK residential property gains. The previous two-tier structure (18% and 28%) was abolished.

For commercial property and indirect disposals, the rate depends on whether the gain falls in the basic rate (18%) or higher rate (24%) band, assessed against the non-resident's UK income in the year of disposal.

The Annual Exempt Amount: GBP 3,000

Non-resident individuals deduct the Annual Exempt Amount before calculating CGT. For 2026/27, the AEA is GBP 3,000.

Worked example:

You sell a flat in Manchester. The gain after purchase costs and improvements is GBP 58,000.

• Gain: GBP 58,000
• Less AEA: GBP 3,000
• Taxable gain: GBP 55,000
• NRCGT at 24%: GBP 13,200

The AEA can only be used once across all UK disposals in the same tax year.

The 60-Day Reporting Rule

You must report the disposal and pay any tax owed within 60 days of completion.

The 60-day clock starts on the date of completion, not exchange of contracts. For a property sold on 1 June 2026, the deadline is 31 July 2026.

You report via the UK Property Reporting Service, accessed through your Government Gateway account. If you are already registered for Self Assessment, you must still file the 60-day return separately -- it is not replaced by your SA return.

Nil-Gain Returns

If your gain is fully covered by the AEA or PPR, a return is still required showing nil tax payable. Failure to file a nil return triggers the same penalties as a late return with tax owed.

HMRC Registration

Before you can file, you need a Government Gateway account and a Unique Taxpayer Reference (UTR). Allow time for HMRC to issue your UTR -- typically 10 to 21 days by post. Steps:

1. Create a Government Gateway account at gov.uk
2. Enrol for Self Assessment to obtain a UTR
3. Wait for your UTR (post to your address)
4. File through the UK Property Reporting Service

If your UTR has not arrived before the 60-day deadline, contact HMRC and document your attempt to register.

Private Residence Relief and the 90-Night Test

Non-residents can claim PPR on a UK property, but only if they satisfy the 90-night test: spending at least 90 nights at that specific property during the tax year of disposal, or the preceding tax year. Nights at other UK addresses do not count toward the 90 for a particular property.

If you meet the test, the gain attributable to periods of occupation -- plus the final 9 months of ownership regardless of occupation -- is exempt.

Example: You owned a flat in London from 2012 to 2026 (14 years). You lived there for 7 years as your main home, then moved abroad. In the tax year of sale you spent 95 nights at the flat.

You satisfy the 90-night test. PPR applies to the 7 years of occupation plus the final 9 months. Only the remaining period (approximately 6.25 years) generates a chargeable gain. The exempt fraction dramatically reduces the 24% charge.

Allowable Deductions

Before applying the 24% rate, you can deduct:

• Original purchase price (or April 2015 rebased value for property held before that date)
• Stamp Duty Land Tax on acquisition
• Solicitor and estate agent fees on both purchase and sale
• Capital improvement costs (not repairs or maintenance)
• Costs of establishing title

You cannot deduct mortgage interest, routine maintenance, or insurance -- these are income-type expenses, not CGT deductions.

Rebasing for Pre-2015 Owners

If you owned UK residential property before 5 April 2015, you can elect to use the April 2015 market value as your acquisition cost, taxing only the post-2015 gain. This "rebasing election" avoids CGT on price appreciation that occurred before the regime applied to non-residents.

Alternatively, you can use straight-line time apportionment -- allocating the total gain proportionally across the ownership period and taxing only the post-April 2015 fraction.

Common Mistakes

• Confusing exchange and completion -- the 60 days runs from completion
• Assuming nil gain means no return is needed -- it is still required
• Forgetting the 90-night test for PPR -- keep contemporaneous records
• Overlooking improvement costs from years ago -- old receipts for extensions and refits reduce your gain
• Missing the HMRC registration step before the 60-day window closes

Penalties: At a Glance

Late payment interest accrues separately from the 60-day deadline.

Use CalcHub to Estimate Your NRCGT Bill

Our Capital Gains Tax calculator at CalcHub.uk lets you enter your sale price, purchase price, costs, and AEA to see your estimated NRCGT liability instantly. You can also model the effect of PPR to see how the 90-night test changes your bill. Try the calculator before your sale completes so you can plan your cash flow around the 60-day payment deadline -- and avoid any nasty surprises.