How CGT applies when you sell estate assets as a personal representative. Rates, the £3,000 annual exempt amount, the 60-day property rule, date-of-death uplift, and when to report.
This guide is part of ProbateHelp's Inheritance Tax guide cluster.
Not solely because the sale price is lower. After allowable costs and adjustments, an allowable estate loss can be set against gains in the same tax year or carried forward within the administration period.
For 2026-27, personal representatives pay 24% on ordinary chargeable estate gains, including gains on shares and property. Special reliefs and carried-interest rules can produce a different result, so check them separately.
No CGT is normally due if the estate's net chargeable gains are covered by its available annual exempt amount. Reporting can still be required if HMRC has issued a notice to file or the estate must use Self Assessment; if losses are claimed, include the gains and losses in the relevant return or report.
Passing an asset to the beneficiary entitled to it under the will or intestacy is not normally a disposal for CGT purposes, so no estate-level CGT arises at that point. The beneficiary generally takes the personal representatives' date-of-death base cost and may pay CGT if they later dispose of it at a gain.
The annual exempt amount is only available for the tax year of death and the following two tax years. From year four onwards, estate gains are taxable with no annual exempt amount.
A private car is normally exempt from CGT, including when it is sold by the estate. Different rules can apply to vehicles that are not private cars, so check the asset before treating it as exempt.