ARTICLE · 18 JUNE 2026

What Is A Chargeable Gain In The UK?

LegalVision

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Individuals and unincorporated businesses pay capital gains tax (CGT) on any gain, whilst companies include the gain in their total taxable profit, taxed at the corporate rate.

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Summary

In the UK, money received from selling a capital asset is subject to the chargeable gains regime, not income tax.
Individuals and unincorporated businesses pay capital gains tax (CGT) on any gain, whilst companies include the gain in their total taxable profit, taxed at the corporate rate.
Not all disposals result in a tax liability – exemptions apply to certain assets and persons, and losses can be offset against gains.
This article is a plain-English guide to chargeable gains for UK business owners, covering how HMRC taxes capital asset disposals for both individuals and companies.
It has been prepared by LegalVision, a commercial law firm that specialises in advising clients on business taxation and commercial law matters.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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