Reminder: 60-Day CGT Reporting Requirement for UK Residential Rental Property Sales

If you sell a UK residential rental property, there are specific Capital Gains Tax (CGT) reporting obligations that apply in addition to your annual self-assessment tax return.  

Recently, we have seen several instances where property sales were mentioned only at year-end, meaning the legally required 60-day CGT return had not been completed. 

To help avoid penalties and interest, we want to ensure all clients are aware of the rules and the steps to follow. 

What Is the 60-Day CGT Return? 

When a UK residential property is sold and CGT is due, HMRC requires a standalone Capital Gains Tax on UK Property Return to be submitted within 60 days of completion. This applies to rental properties, second homes, and any disposal that triggers CGT. 

This return is mandatory even where we handle your annual self-assessment return. 

Key Points Clients Need to Know  

1. The 60-Day Return Is a Legal Requirement 

The disposal must be reported to HMRC through the dedicated CGT property reporting service. This requirement does not disappear because the sale will later be included on your self-assessment tax return. 

2. The 60-Day Return Should Be Completed Before Your Self-Assessment Return 

Your year-end return does not replace the 60-day obligation. Filing only through self- assessment can result in HMRC penalties for late reporting. 

3. The CGT Payment Is Due Immediately 

CGT arising from the sale must be paid at the time of submitting the 60-day return. 

It is not payable on 31 January with the rest of your annual tax liability. 

Late filing or late payment can lead to interest charges and penalties. 

If You Are Selling a Rental Property 

Please contact us as soon as you begin the sale process or immediately after completion.  

Early communication helps us meet HMRC’s strict deadlines and ensures that the correct CGT calculations and filings are made promptly. 

Need Advice? We’re Here to Help 

If you have sold—or are planning to sell—a UK residential rental property, our team can guide you through the reporting requirements and ensure your 60-day return is filed correctly and on time. Please contact us for advice. 

Looking for advice? Check out our full range of services. From payroll help to taxation advice, our expert team is available to lend a hand.