What Is Capital Gains Tax?
Capital Gains Tax (CGT) is a tax on the profit (gain) you make when you sell or dispose of an asset that has increased in value. It is charged on the gain, not the total sale price.
Updated for 2026 Revenue rates.
CGT Rates for 2026
- Standard rate — 33% on most assets
- Entrepreneur relief — 10% on qualifying gains up to a lifetime limit of €1,000,000
- Consanguinity relief — reduced rate of 33% (standard rate applies but certain reliefs may reduce effective rate on asset transfers between close relatives)
Annual Exemption
For 2026, the first €1,270 of chargeable gains in a tax year is exempt from CGT. Married couples and civil partners each get their own annual exemption.
Principal Private Residence (PPR) Relief
If you sell your main family home, the gain is exempt from CGT under PPR relief, provided:
- The property has been your only or main residence throughout your period of ownership
- The property and garden grounds do not exceed 1 acre (0.4 hectares) — excess land may be taxable
- If you used part of the home exclusively for business, that portion may not qualify for relief
If you were absent from the property due to employment (including overseas work), you may still qualify for full relief for up to 4 years of absence.
Entrepreneur Relief
Entrepreneur relief reduces the CGT rate to 10% on qualifying gains up to a lifetime limit of €1,000,000. It applies to:
- The disposal of all or part of a qualifying business
- Disposal of assets used by a qualifying business
- Disposal of shares in certain qualifying companies
Conditions include that you must have owned the business or shares for at least 3 years and been a working director or employee.
Other CGT Reliefs
- Retirement relief — available to individuals aged 55+ disposing of business/farm assets (full relief up to certain value limits)
- Farm restructuring relief — relief on exchange of farmland for consolidation purposes
- Transfer between spouses/civil partners — no CGT on transfers between spouses or civil partners, including on separation/divorce
- Investment in innovative companies — CGT deferral for reinvestment in certain innovative SMEs
Calculating Your Gain
Your chargeable gain is: Sale proceeds − (Purchase cost + Enhancement expenditure + Incidental costs of acquisition and disposal). Indexation relief (adjusting costs for inflation) was abolished for disposals after 2003.
Filing and Payment
CGT is a self-assessment tax. You must:
- File a CGT return through ROS or myAccount
- Pay CGT within the following deadlines:
- Gains from January to November — due by 15 December of that year
- Gains from December — due by 31 January of the following year
When CGT is due and how to pay it
CGT in 2026 is 33% on chargeable gains above the €1,270 annual exemption (each spouse gets their own exemption). Payment is due in two windows: gains from disposals between 1 January and 30 November are payable by 15 December of the same year, and gains from December disposals by 31 January of the next year — so if you sell an asset in July, the tax is due in December, not the following October. You must file a CGT return (CG1) through ROS by 31 October following the year of disposal even if no tax is due (unless you use the online return in myAccount for smaller cases). Interest runs from the due date on late payments, so budget for the tax before you spend the proceeds.
Computing your gain
Your gain is the sale proceeds minus: the original purchase price, allowable expenses of buying and selling (solicitor fees, auctioneer fees, advertising), and the cost of capital improvements (but not routine repairs). Inflation relief (indexation) was abolished in 2003, so the gain is the simple money gain. Losses can be offset against gains in the same year or carried forward, and transfers between spouses/civil partners are exempt. If you sell a business, the entrepreneur relief rate of 10% applies to qualifying gains up to a lifetime limit of €1,000,000 (3-year ownership, working director/employee conditions), and retirement relief can fully exempt disposals of business or farm assets by people aged 55+ within certain value limits.
Property, shares and crypto
Your principal private residence is exempt (up to 1 acre of grounds), but second homes, rental properties and development land are fully taxable — with the last 12 months of ownership of your main home always exempt even if you have moved out. Shares: gains are taxed at 33%, and losses on shares can be offset against other gains. Cryptocurrency: Revenue treats crypto as an asset, so crypto-to-crypto trades and sales are chargeable disposals — keep records of every transaction, as the burden of proof is on you. Non-residents selling Irish land or buildings (and, from certain dates, shares in Irish property-rich companies) are also within the CGT net.
Action steps
- Keep a disposal log with dates and values — Revenue can ask for records up to 6 years back.
- Remember the 15 December / 31 January payment windows — they arrive sooner than you expect.
- Offset any capital losses against gains in the same year.
- For business sales, check entrepreneur relief (10%) and retirement relief before you sign.