To report and pay capital gains tax on UK property, you file a Capital Gains Tax on UK property return with HMRC online and pay the tax you estimate is due, both within 60 days of completion. This is the 60 day capital gains tax return. It's separate from Self Assessment.
UK residents only file when there's tax to pay on a residential property. Non-residents must file for every disposal of UK land or property, even at a loss.
This guide covers who has to file, when the 60 days start, how to report and pay, how to estimate the tax in-year, how the return fits with Self Assessment, and the penalties for being late.
If you'd like this checked for your own situation, see our capital gains tax advice and 60-day return service.
Who has to file a 60 day capital gains tax return?
Does everyone who sells a UK property have to file? No. The rules treat UK residents and non-residents very differently, so first confirm your status for the tax year of the sale under the Statutory Residence Test.
Image 1 — Who has to file a 60-day return
Your status | Situation | What to do |
|---|---|---|
UK resident | The property was not UK residential property | No 60-day return. Report the gain through Self Assessment. |
UK resident | UK residential property, with no capital gains tax to pay | No return. Main home relief, losses or the £3,000 exempt amount cover the gain. |
UK resident | UK residential property, with capital gains tax to pay | File and pay within 60 days of completion. |
Not UK resident | Any disposal of UK land or property: residential, commercial or mixed use, or indirect (a 25%+ interest in an asset that is 75%+ UK land) | File within 60 days of completion, always. Even with no tax to pay, or a loss. |
First step: check your residence status for the tax year of the disposal under the Statutory Residence Test.
UK residents
You must file if you dispose of UK residential property and there is capital gains tax to pay.
You don't need to report where there's no tax to pay, for example where:
Private Residence Relief, the relief for your only or main home, covers the whole gain. See our guide to capital gains tax on your main residence.
the gain is covered by your annual exempt amount
the gain is covered by losses brought forward, or losses made earlier in the same tax year
another relief reduces the gain to nil
UK residents don't use this return for commercial or overseas property. Those gains go on a Self Assessment return.
Non-residents
If you're not UK resident, you must report every disposal of UK property or land, even if you have no tax to pay, you've made a loss, or you're registered for Self Assessment. That covers:
residential property
non-residential (commercial) property and land
mixed-use property
indirect disposals: selling an interest of at least 25% in an asset, such as company shares, that gets 75% or more of its gross value from UK land
So if Aisha, who lives in Dubai, completes the sale of a UK flat on 14 September 2026 at an £8,000 loss, she still has to file by 13 November 2026. A disposal in the overseas part of a year that qualifies for split-year treatment also falls under the non-resident rules.
👉 GOV.UK: Tell HMRC about Capital Gains Tax on UK property or land if you're not a UK resident
👉 HMRC manual: CG-APP18-110 Before you start
Capital gains tax on property: 60 days from when?
Do the 60 days run from exchange or completion? Completion. The return must reach HMRC on or before the 60th day after the day of completion, and the tax is due the same day.
The exchange date still matters. For capital gains tax, a disposal happens when the contract is made, so the date you exchange decides which tax year the gain belongs to. If the contract is conditional, it's the date the condition is met.
The two dates can fall in different tax years. Exchange on 30 March 2027 and complete on 20 April 2027, and the gain belongs to 2026/27, while the 60 days run from 20 April.
The deadline was 30 days for completions from 6 April 2020 to 26 October 2021, and has been 60 days for completions on or after 27 October 2021.
👉 Legislation: Finance Act 2019, Schedule 2 (returns for disposals of UK land)
How to report and pay capital gains tax on UK property, step by step
What do you actually do? You use HMRC's online CGT on UK property service, officially the Capital Gains Tax on UK property account.
Gather your figures. You need the property address, the acquisition, exchange and completion dates, the purchase and sale values, your costs, and any reliefs.
Sign in or create sign-in details. Start from the GOV.UK page below with your Government Gateway user ID, or create sign-in details as you go.
Create your UK property account. You get an account number the first time. An agent needs it to act for you.
Complete and send the return. The service works out the tax from your answers. If you enter your own figure, you add your own supporting calculation.
Pay using your payment reference. Each return gives you a 14-character reference number starting with X. Pay by card, by approving a bank payment or by bank transfer. Overseas payments should be in sterling.
Amend if something changes. You can change your return in the account until you send a Self Assessment return for the same tax year.
👉 GOV.UK: Report and pay your Capital Gains Tax if you sold a property in the UK
Non-residents without a National Insurance number
You don't need a National Insurance number or a Unique Taxpayer Reference to file. HMRC's manual sets out an alternative route for non-residents who can't set up a Government Gateway account. You create sign-in details with an email address, confirm it with the code HMRC sends, and give the address of the UK property.
👉 HMRC manual: CG-APP18-160 Non-UK residents
When HMRC allows a paper form
HMRC's guidance says you must report by post instead if you:
have already sent a Self Assessment return for the same tax year
need to amend a paper form you've already sent
are a corporate trustee
are a personal representative amending a report
cannot use the online service
You fill in the form on screen, then print and post it. HMRC then sends your payment reference by letter.
👉 GOV.UK: Report your Capital Gains Tax on UK property by post
Using an agent
An adviser can file for you, but you create your own account first. You give them your account number and your UK postcode, or your country of residence if you live abroad. They send you an authorisation link, which HMRC's manual says you must use within 21 days.
👉 GOV.UK: Managing your client's Capital Gains Tax on UK property account
How to estimate the tax in-year
How do you work out the tax before the year has ended? You calculate it as if the tax year stopped on your completion date, using reasonable estimates where you have to. For how the gain itself is worked out, including rebasing for non-residents, see our guide to non-resident capital gains tax on UK property.
Annual exempt amount. £3,000 for individuals in 2026/27. Non-residents get it too.
Rates. For 2026/27, 18% on gains within your unused basic rate band and 24% above it. The same rates apply to other assets.
Your income. The basic rate band is £37,700 for 2026/27. Estimate your taxable income for the whole year to see how much of the band is left.
Losses. You can use losses brought forward and losses made earlier in the tax year, up to completion. Expected later losses can't go on this return. Non-residents can only use losses from UK property and land.
Our non-resident capital gains tax calculator gives a quick estimate.
👉 GOV.UK: Capital Gains Tax rates
👉 HMRC manual: CG-APP18-250 Losses, exemptions and estimates
Worked example: a UK resident selling a second home
Daniel is UK resident. He exchanges contracts on a holiday cottage on 12 October 2026 and completes on 9 November 2026.
His gain after costs is £120,000. The cottage was never his home.
He sold shares at a £2,000 loss in June 2026, before completion, so he can use it.
Taxable gain: £120,000 less the £2,000 loss and the £3,000 annual exempt amount = £115,000.
He expects income of £42,570 for 2026/27. After the £12,570 personal allowance, that's £30,000 of taxable income, leaving £7,700 of his basic rate band.
Tax: £7,700 at 18% = £1,386, plus £107,300 at 24% = £25,752.
Daniel must file and pay £27,138 by 8 January 2027, the 60th day after completion.
If Daniel files Self Assessment, the same gain goes on his 2026/27 return, due by 31 January 2028.
Image 2 — The 60-day timeline and penalties
Date | Event | What happens |
|---|---|---|
12 October 2026 | Exchange | Fixes the tax year: 2026/27 |
9 November 2026 | Completion | The 60 days start |
8 January 2027 | Day 60 | File the return and pay £27,138 |
31 January 2028 | Self Assessment | 2026/27 return, if you file one |
If you miss day 60:
1 day late: £100 fixed penalty
6 months late: £300 or 5%, whichever is greater
12 months late: £300 or 5% again, more if deliberate
Tax paid late: interest from the deadline until paid
Still unpaid 30 days after 31 January 2028: 5%
Do you still need a Self Assessment return?
Does the 60-day return replace Self Assessment? No. If you're registered for Self Assessment, you must also include the disposal in the capital gains pages of your return for that tax year. The tax already paid is set against your final bill.
That return carries the final figures, including losses made after completion and your other gains. Non-residents who file a return report the disposal again, unless it was their main home and Private Residence Relief applies.
When is the 60-day return enough on its own? When you aren't otherwise in Self Assessment, HMRC hasn't asked you for a return, and the 60-day return covered all the capital gains tax you owe for the year and was filed by 5 October after the tax year. This is common for non-residents whose only UK source was the property. See do I need to file a UK tax return?
What if you overpaid? HMRC's manual says an overpayment on the 60-day return is set automatically against your other Self Assessment charges. Anything left over isn't repaid automatically, so you need to contact HMRC.
👉 HMRC manual: CG-APP18-320 UK Property Account and Self Assessment
Penalties and interest for filing or paying late
What happens if you miss the 60 days? Late filing penalties run from the 60-day deadline and apply even when no tax is due, so a non-resident's late nil return still costs £100.
60-day return: deadlines and penalties
What | When | Consequence |
|---|---|---|
Pay the estimated tax | Same 60-day deadline | Interest from the deadline until paid |
Return late | Day after the deadline | £100 fixed penalty |
Return 3 months late | If HMRC gives notice | £10 a day for up to 90 days |
Return 6 months late | 6 months after the penalty date | Greater of £300 or 5% of the tax |
Return 12 months late | 12 months after the penalty date | A further £300 or 5%, more if deliberate |
Tax still unpaid | 30 days after 31 January following the tax year | 5% of the unpaid tax |
Late payment interest is charged at the Bank of England base rate plus 4 percentage points. The 5% late payment penalty is dated from 31 January after the tax year of the disposal, not from the 60-day deadline. It's charged again if the tax is still unpaid five months and eleven months after the first one.
👉 HMRC manual: CH62080 Penalties for failure to file on time
👉 Legislation: Finance Act 2009, Schedule 56, paragraph 1 (late payment penalty dates)
For older unreported gains, see our guide to making a voluntary disclosure to HMRC.
Joint owners, trustees, estates and mixed-use property
What if you don't own the property alone? Each joint owner files their own return for their own share of the gain.
Trustees need the trust's Unique Taxpayer Reference or Unique Reference Number to report. Personal representatives report disposals made while they administer an estate, and HMRC tells them how to pay after they report. Both pay 24% for 2026/27.
For mixed-use property, such as a shop with a flat above, a UK resident reports only the residential part of the gain, and only if tax is due on it. A non-resident reports the whole disposal.
Common mistakes with the 60-day return
Counting from exchange, or from the end of the tax year. The 60 days run from completion.
Not filing because there's no tax. That's right for UK residents, but non-residents must file even at a loss.
Getting your residence status wrong. The rules depend on whether you were UK resident in the tax year of the disposal. See our guide to UK non-resident tax rules.
Leaving the account and agent authorisation until after completion. Both take time out of the 60 days.
Paying the tax to your Self Assessment reference. HMRC's manual warns the payment may be set against other Self Assessment charges. Use the reference starting with X.
Frequently asked questions
Do I have to report capital gains tax on property within 60 days?
Yes, if you're UK resident with capital gains tax to pay on UK residential property, or non-resident and have disposed of any UK property or land. You report through HMRC's Capital Gains Tax on UK property account and pay by the same deadline.
Is the 60 days from exchange or completion?
From completion. The return and the payment are both due on or before the 60th day after completion. The exchange date decides which tax year the gain belongs to.
Do I need to file a 60-day return if there is no tax to pay?
UK residents don't, for example where Private Residence Relief, losses or the £3,000 annual exempt amount cover the gain. Non-residents do, even with no tax to pay or a loss.
What is the penalty for missing the 60-day capital gains tax deadline?
A late return brings a £100 penalty straight away. Further penalties of £300 or 5% of the tax, whichever is greater, apply at six and twelve months. Interest runs on unpaid tax from the 60-day deadline.
Do I still report the sale on my Self Assessment tax return?
Yes, if you file one. You include the disposal in the capital gains pages for that tax year, and the tax already paid is credited. If you aren't otherwise in Self Assessment and the 60-day return covered all your capital gains tax for the year, that return is usually enough.
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