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Capital Gains Tax on Property in Scotland

CGT is UK-wide — but Scottish taxpayers use the UK basic-rate band to fix their CGT rate, not Scottish bands. Worked example and the 60-day rule.

Verified Aug 2026Primary sourcesTax year 2026/27

The short answer

Capital Gains Tax is the same in Scotland as in the rest of the UK — it is not devolved. Residential property gains are taxed at 18% and 24% after the £3,000 annual exempt amount. The twist: which rate you pay depends on the UK basic-rate band (£37,700), not the Scottish income-tax bands you pay on your salary.

“Capital gains tax calculator Scotland” is a popular search with no good answer, because the honest answer is that there is no Scottish CGT — but there is a Scottish complication.

The rates

Element2026/27
Gain within your unused UK basic-rate band18%
Gain above the UK basic-rate band24%
Annual exempt amount (per person, per tax year)£3,000
Reporting and payment deadline for UK residential property60 days from completion

The Scottish band trap

Scottish taxpayers pay income tax on salary and rent using Scotland’s bands (the higher rate starts at £43,662 of income). CGT ignores that. To decide how much of your gain is taxed at 18%, HMRC uses the UK basic-rate band of £37,700 above the personal allowance — total income up to £50,270.

Result: a Scottish landlord earning £48,000 is a Scottish higher-rate income-taxpayer but still has £2,270 of UK basic-rate band left for CGT purposes, so £2,270 of gain is taxed at 18% and the rest at 24%.

Worked example

A Scottish-resident landlord with £48,000 of income sells a flat in 2026/27 for a £60,000 gain after costs. Less £3,000 exempt amount = £57,000 chargeable. £2,270 at 18% = £409; £54,730 at 24% = £13,135. CGT £13,544, due within 60 days. Run your own numbers in the CGT calculator — it applies the UK band regardless of where you live.

Everything else is UK-wide too

  • Private residence relief (final 9 months always exempt) and lettings relief (shared occupation only, max £40,000)
  • Deductible costs: purchase and sale fees, LBTT paid on purchase, capital improvements
  • Spouse transfers at no gain / no loss — two annual exempt amounts and two basic-rate bands

gov.uk Capital Gains Tax rates and allowances; HMRC CG guidance on Scottish taxpayers (rates determined by UK thresholds); Scottish income-tax thresholds gov.scot 2026/27 factsheet. Checked 2026-08-29; re-checked 31 Aug 2026.

FAQs

Quick answers

No — CGT is a UK-wide tax. Residential property gains are taxed at 18% / 24% with a £3,000 exempt amount, the same as England.

The UK basic-rate band (£37,700 above the personal allowance), not the Scottish bands. Many Scottish higher-rate taxpayers still have some UK basic-rate band left for CGT.

Within 60 days of completion via HMRC's UK property return, plus in your self assessment.

Yes — LBTT and ADS paid on purchase are acquisition costs deducted when working out the gain.