Capital Gains Tax on Inherited Property Calculator UK
Estimate the Capital Gains Tax due when selling an inherited property in the UK. Enter the probate value, sale price, and allowable costs to see your likely CGT bill.
Property & Sale Details
Enter your probate value, sale details, and costs to estimate your CGT liability
The property’s market value used for probate/Inheritance Tax purposes.
The price the property is being sold for.
Estate agent, solicitor, and conveyancing fees for the sale.
Costs of extensions or capital improvements. Not routine maintenance or decorating.
Your gain is taxed at 18% within the basic rate band and 24% above it.
Enter any part of your £3,000 annual CGT allowance already used elsewhere this tax year.
If you know how much of your basic rate band is unused, enter it here for a more accurate 18%/24% split.
CGT Estimate Results
Estimated Capital Gains Tax on the inherited property sale
Enter your probate value, sale price, and costs above, then click Calculate CGT to see your estimated tax bill.
UK CGT on Property Key Figures
Key rates and allowances for Capital Gains Tax on UK residential property in the current tax year.
| Item | Figure | Notes |
|---|---|---|
| Annual Exempt Amount | £3,000 | Per individual, per tax year. |
| Basic Rate CGT (Property) | 18% | Applies within your unused basic rate income tax band. |
| Higher/Additional Rate CGT (Property) | 24% | Applies to gains above the basic rate band. |
| Reporting Deadline | 60 days | UK residential property sales must be reported and any tax paid within 60 days of completion. |
| Base Cost for Inherited Property | Probate value | Market value at date of death, not original purchase price. |
Inherited Property CGT FAQ
Everything you need to know about Capital Gains Tax when selling an inherited property in the UK.
You do not pay Capital Gains Tax simply for inheriting a property. CGT only becomes due if you later sell the property for more than its value at the date of death (probate value), after deducting allowable costs and your annual tax-free allowance.
The base cost for CGT purposes is normally the market value of the property at the date of death, as used for probate or Inheritance Tax purposes. Any gain is then calculated as the eventual sale price minus this probate value, minus allowable costs.
For residential property, UK Capital Gains Tax is charged at 18% for gains that fall within your basic rate income tax band, and 24% for gains above the basic rate threshold. The rate that applies depends on your total taxable income plus the gain in that tax year.
Each individual has an annual tax-free Capital Gains Tax allowance, known as the annual exempt amount. For the 2024/25 tax year this is £3,000. Gains below this threshold in a tax year are not subject to Capital Gains Tax.
Yes. Costs such as estate agent fees, solicitor fees, and capital improvements made to the property (not routine maintenance) can usually be deducted from the sale proceeds when calculating the taxable gain, reducing the overall CGT liability.