Business Asset Disposal Relief Calculator

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Business Asset Disposal Relief Calculator

Calculate your Business Asset Disposal Relief (BADR) tax liability instantly. Free, accurate UK tool applying the current 18% BADR rate, £1 million lifetime limit, and standard CGT comparison.

📈 BADR Rate: 18%
🎯 £1m Lifetime Limit
🎓 Educational
📱 Mobile Friendly

Calculate Your BADR Tax Liability

Enter your qualifying gain and any BADR already claimed to see the tax due at the BADR rate, how much of your lifetime limit remains, and how it compares to standard Capital Gains Tax.

Tax Due = Qualifying Gain (up to remaining £1m limit) × 18%
Gains above the remaining lifetime limit are taxed at the standard Capital Gains Tax rate

Disposal Details

Enter your gain details to see your BADR tax breakdown

📊 Input Variables
Total qualifying gains you’ve already claimed BADR against, across previous disposals.
The lifetime BADR limit is £1,000,000 per individual. Gains above your remaining limit are taxed at the standard CGT rate selected above.

BADR Results

Your estimated tax liability and remaining lifetime limit

BADR Rate History

How the Business Asset Disposal Relief rate and lifetime limit have changed over recent tax years.

Period BADR Rate Lifetime Limit
Before 6 April 202510%£1,000,000
6 Apr 2025 – 5 Apr 202614%£1,000,000
From 6 April 202618%£1,000,000
⚠️ Important Note: This calculator provides a general estimate only and does not constitute tax advice. BADR eligibility depends on meeting specific conditions (e.g. 5% shareholding, 2-year ownership period, trading company status). Always confirm your position with HMRC guidance or a qualified tax adviser before relying on these figures.

BADR Calculator FAQ

Everything you need to know about Business Asset Disposal Relief, rates, and eligibility.

Business Asset Disposal Relief (BADR), formerly known as Entrepreneurs’ Relief, is a UK tax relief that reduces the rate of Capital Gains Tax paid on qualifying disposals of business assets, such as shares in a trading company or a sole trader business, up to a lifetime limit.

From 6 April 2026, the BADR rate is 18 percent. This followed a rate of 14 percent for disposals between 6 April 2025 and 5 April 2026, and 10 percent for disposals made before 6 April 2025.

The BADR lifetime limit is £1 million of qualifying gains per individual. This is a cumulative limit across all qualifying disposals made during a person’s lifetime, not an annual allowance, and any gains beyond it are taxed at standard Capital Gains Tax rates.

Individuals disposing of all or part of a trading business they own, or shares in their personal trading company where they have been an officer or employee holding at least 5 percent of shares and voting rights for at least two years, may qualify, subject to meeting the qualifying conditions.

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