Big Change with Capital Gains

From 6th April 2020 there are three changes that will affect Capital Gains Tax.


Currently you file your Capital Gains Tax in your Tax Return.

This means you have until the 31st January to declare it.

However, from the 6th April 2020 you will have 30 days following the sale to submit your provisional capital gains and pay what is due.

If you have overpaid the Capital Gains Tax you will have to wait until you submit your Tax Return to claim back the overpayment.


If you sell before the 5th April 2020, the last 18 months of ownership of the property are treated as qualifying for principal private residence relief, and so may be exempt from tax.

From the 6th April 2020, this will be reduced down to 9 months, halving the current exemption.


If you sell a property which was, at one point, your main residence, but is now rented, you can claim up to £40,000 per owner to reduce your Capital Gain.

This meant that if two people own a house they could get an exemption of £80,000 in total.

This exemption will be completely removed for the vast majority of sales from 6th April 2020.


These three major changes mean that if you are thinking about selling, now might be the best time.