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Do I have to pay Capital Gains Tax (CGT) when I sell?

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Sellers

If you sell your investment property for more than you originally paid (including the cost of any qualifying improvements), you may be liable for Capital Gains Tax (CGT). In Ireland, the current CGT rate is 33% on the net gain.

To calculate your gain, subtract the original purchase price, along with any allowable expenses such as:

  • Legal and estate agent fees
  • Stamp duty from the original purchase
  • Qualifying capital improvements (e.g., renovations, extensions)
  • Advertising or marketing costs for the sale

It’s important to retain detailed records and receipts for any costs you plan to claim. If you’re unsure about your CGT liability, it’s best to consult a tax advisor or accountant who specialises in property sales.

Note that some sellers may qualify for reliefs or exemptions depending on their circumstances, such as Principal Private Residence Relief (if you lived in the property at any stage). Your accountant will determine if any reliefs apply.


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