What Is Non-Resident Capital Gains Tax?
Non-Resident Capital Gains Tax is a UK tax charge on gains which non-resident individuals and trustees realise when disposing of UK property or land.
Also known as: NRCGT, Non-Resident CGT.
How Non-Resident Capital Gains Tax works
Non-Resident Capital Gains Tax (NRCGT) applies when an individual or trust which is not resident in the United Kingdom disposes of UK property or land, and the gain is charged under UK capital gains rules even though the seller lives abroad. Since 6 April 2019 the charge has covered all UK property or land, while non-resident companies pay Corporation Tax on such gains instead. A disposal must be reported to HMRC even when nothing is payable, a loss arises or the seller is registered for Self Assessment, and tax on residential property is generally reported and paid within 60 days of completion. Relief in the seller's residence country depends on local law and any applicable treaty.
Non-Resident Capital Gains Tax vs Capital Gains Tax (CGT)
Unlike general Capital Gains Tax, which a UK resident pays on worldwide gains, Non-Resident Capital Gains Tax is limited to disposals of UK property or land and carries a separate reporting deadline.
Example
Illustrative example: A digital nomad who left the United Kingdom years earlier sells a London flat while resident in Country A. The nomad reports the disposal to HMRC and pays any tax within the deadline, and Country A may also tax the gain, generally granting relief for UK tax under its own law or a treaty.
Common misconception
Myth: Selling UK property after emigrating needs no UK filing when no gain arises.
Reality: HMRC requires non-residents to report disposals of UK property or land even when nothing is payable or a loss arises.
Frequently asked questions
Do non-residents pay capital gains tax on UK property?
Non-residents generally pay UK Capital Gains Tax on gains from disposals of UK property or land, which since 6 April 2019 covers residential and non-residential property, while non-resident companies pay Corporation Tax instead.
How long does a non-resident have to report a UK property sale?
For UK residential property completed on or after 27 October 2021, HMRC requires a non-resident to report and pay any Capital Gains Tax due within 60 days of completion.
Related terms
- Capital Gains Tax (CGT) — General charge NRCGT extends to non-residents
- Immovable Property — Asset class at the core of the charge
- Temporary Non-Resident — Rules taxing gains on early UK return
- Gains from Alienation — Treaty article allocating property gains
- Double Taxation Relief — Relief where residence country also taxes
Related guides
- Why digital nomads are leaving the UK — UK leavers often keep UK property
- Capital gains taxation in Malta — Residence-country view of capital gains
Sources
Last verified: 2026-10-08. This entry is general information, not tax or legal advice; rules vary by country and change over time.
