Explore More Capital Gains Tax Calculators
How CGT Works When You Separate or Divorce
While you're living together as a married couple or civil partners, transfers between you are always no-gain/no-loss — no CGT arises. Once you separate, that treatment doesn't stop immediately, but it does become time-limited.
The no-gain/no-loss window (since 6 April 2023)
- Transfers made in the tax year of separation are still automatically no-gain/no-loss, as before.
- You now get up to 3 further tax years after the year of separation to make no-gain/no-loss transfers between yourselves.
- Transfers made as part of a formal divorce or dissolution settlement have no time limit — they remain no-gain/no-loss whenever the settlement completes.
- Outside those windows, a transfer or sale between former spouses is taxed like a disposal to anyone else.
The family home
A spouse who moves out often keeps Private Residence Relief for the final 9 months of ownership, plus (since April 2023) an option to claim PRR again when the home is eventually sold or transferred to the other spouse, if they retain a financial interest in it and haven't bought another main residence — worth checking specifically for your situation.
How this calculator works — Formulas & Method
Source: gov.uk/capital-gains-tax/gifts, gov.uk guidance on separation and divorce (April 2023 reform) · Deterministic calculation — no AI, no arbitrary estimation
Constants used
| Constant | Value | Source |
|---|---|---|
| Annual exempt amount | £3,000 | gov.uk/capital-gains-tax/rates, 2026/27 |
| Basic rate band upper limit | £50,270 taxable income | gov.uk Income Tax rates 2026/27 |
| CGT basic / higher rate | 18% / 24% | gov.uk/capital-gains-tax/rates |
| No-gain/no-loss window | Year of separation + 3 further tax years (unlimited if part of formal settlement) | gov.uk separation & divorce CGT guidance |
Formulas
cgt = £0, gain carries over to receiving spouse's base cost
— Outside the window —
taxable_gain = max(0, gain − £3,000)
cgt = taxable_gain taxed at 18%/24% per remaining basic band
Deterministic calculation; formal settlement transfers have no time limit regardless of the general 3-year window. Always confirm your own position with HMRC or a qualified adviser.
Get It Filed Correctly, Not Just Estimated
This calculator gives an estimate — actually reporting and paying it correctly is a separate step with its own deadline and paperwork.
- Transferring or selling assets in divorce: the no-gain/no-loss treatment only applies within a limited window after separation — miss it and a transfer that should have been tax-free can trigger a real CGT bill.
- Multiple disposals in one tax year: ordering and timing disposals across the 5/6 April boundary can materially change what you owe.
- Inherited or gifted assets: your acquisition cost for CGT purposes isn't always what you think — get the base cost confirmed.
- Business Asset Disposal Relief: can cut your rate to 18% on qualifying gains, but eligibility rules are strict.
A fixed-fee online accountant can handle the return and your wider Self Assessment together.
Compare Online Accountants →Transparency & Methodology
Methodology & Sources
Figures are public HMRC rates. For your exact position, use gov.uk/capital-gains-tax.
Not Tax or Legal Advice
Information only. Consult the Chartered Institute of Taxation or an adviser via the FCA Register.
Open Source
Formulas are public. Inspect on GitHub.