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What is Capital Gains Tax (CGT)?

Capital Gains Tax is a tax that needs to be paid in respect of gains made from selling, transferring or otherwise disposing of assets.

Some common assets that people sell, that are subject to CGT, include investment property and common stocks and shares.

 

When does CGT need to be paid?

If assets are sold on or before 30 November any CGT is due by 15 December in the same tax year, while if assets are sold during the month of December any CGT payment is due by 31 January in the following year.

For example, if you disposed of an asset between January and November 2024 you must pay any CGT due to Revenue before 15 December 2024. If you dispose of an asset in December 2024, any CGT will be due by 31 January 2025.

It is your responsibility to calculate what CGT is due, file the appropriate return and pay the liability on time. The CGT return is called a Form CG1. 

It is also important to note, in respect of assets disposed of up to 30 November 2024, that while you pay the CGT in the year the assets are sold, you need to file the return by 31 October of the following year. So, if you sold an asset in 2024 you need to file a return, on or before 31 October 2025.

 

How do I pay CGT?

Once you are registered for CGT you can pay the tax you owe online through ROS or myAccount.

 

How much CGT will I pay?

The rate of CGT in Ireland is currently 33%, so approximately one third of your gain will be paid in tax. For more complicated CGT transactions you may benefit from tax planning where you seek professional help to explore the tax planning opportunities available to you. There are many reliefs and exemptions available which may lead to significant tax savings.

 

Need help with CGT returns?

Contact TaxAssist Accountants for a free, no-obligation consultation.

045 814418

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Frequently Asked Questions

Capital Gains Tax is a tax that needs to be paid in respect of gains made from selling, transferring or otherwise disposing of assets.

Some common assets that people sell, that are subject to CGT, include investment property and common stocks and shares.

The rate of CGT in Ireland is currently 33%, so approximately one third of your gain will be paid in tax.

Once you are registered for CGT you can pay the tax you owe online through ROS or myAccount.

If assets are sold on or before 30 November any CGT is due by 15 December in the same tax year, while if assets are sold during the month of December any CGT payment is due by 31 January in the following year.

Date published 8 Nov 2023 | Last updated 27 Nov 2024

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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