Chapter 7 of 10 · Selling · 1 of 14
Capital gains tax when selling a house in Ireland
Checked 21 Oct 2026the Central Bank's mortgage measures, Revenue's rules and the scheme operators' published terms.
When CGT applies to a house sale, the new 31% rate from 7 October 2026, allowable costs, the €1,270 exemption and due dates.
Written in plain English for the person buying, selling or switching. This guide covers the Republic of Ireland only.
Capital gains tax (CGT) is a tax on the profit when you sell something for more than it cost you. On a home that was always your main home, there is none. On a home you let out, or lived away from for part of the time, some of the profit is taxed. This guide shows when it applies, how the figure is worked out, and when it is paid, with a worked example.
The worked example first
Here is the example the calculator is tested against. Someone bought a home on 15 January 2015 for €250,000, with €6,000 of buying costs. They lived in it until 31 December 2019, then let it out. They sell it with a contract dated 20 November 2026 for €480,000, with €12,000 of selling costs.
| Step | Figure |
|---|---|
| Sale price | €480,000 |
| Less costs of selling | €12,000 |
| Less what it cost, including €6,000 of buying costs | €256,000 |
| Gain | €212,000 |
| Days owned in total | 4,328 |
| Days relieved as the main home, plus the last 12 months | about 50.3% |
| Main home relief | about €106,661 |
| Less the annual exemption | €1,270 |
| Taxable gain | about €104,069 |
| Tax at 31% (announced) | about €32,261 |
| Tax at 33%, the rate in force until the Finance Act 2026 passes | about €34,343 |
| Pay by | 15 December 2026 |
| File the return by | 31 October 2027 |
The capital gains tax calculator does this for your own dates and figures, and shows both rates.
When CGT applies to a house
CGT applies to the gain on any property you sell, give away or swap. The home you live in is the big exception. The relief is called principal private residence relief, and it means no CGT for the time the home was your only or main home. The last twelve months you owned it always count, even if you had moved out. The guide on principal private residence relief covers the detail.
So CGT comes up when:
- You let the home out for part of the time you owned it.
- You lived somewhere else for part of the time, and the absence is not one the rules allow.
- The home was never your main home: a buy-to-let, a holiday home or an inherited house you did not live in.
- The grounds are more than one acre.
- You sell a site from the garden.
The rate, and the announced change
The rate in force is 33%. Budget 2027 announced a rate of 31% for sales with a contract dated 7 October 2026 or later. That change is not law until the Finance Act 2026 is signed, so every figure at 31% here is marked announced. Revenue's own examples still showed 33% on 21 October 2026. The rule change tracker shows when the status changes.
The date that matters is the contract date, not the closing date. A contract signed on 30 September 2026 is taxed at 33%. One signed on 20 November 2026 is at the announced rate of 31%, once the Act passes.
How the gain is worked out
Start with the sale price. Take off the costs of selling. Then take off what the home cost you, the costs of buying, and money spent on improvements. What is left is the gain.
| Counts | Does not count |
|---|---|
| The price you paid | Mortgage interest and repayments |
| Stamp duty when you bought | Repairs and maintenance |
| Solicitor's fees, buying and selling | Decorating |
| Survey and valuation fees | Home insurance and LPT |
| Agent's fee and advertising when selling | Furniture and appliances |
| An extension, a conversion or other improvement still there when you sell | Work that was later replaced |
Keep the invoices. Revenue can ask for them years later. For costs before 1 January 2003, a rule called indexation increases the cost for inflation. The calculator notes it but does not compute it.
The €1,270 exemption
Every person has an annual exemption of €1,270 of gains free of CGT. If two people own the home, each has their own, so €2,540 comes off between them. It cannot be carried forward to another year.
Losses
If you sell a property for less than it cost you, that is a loss. A loss on one sale can be set against a gain on another in the same year, or carried forward to a later year. A loss on your main home is not allowed, because the gain would not have been taxed either.
Inherited and gifted property
If you inherited the home, the cost for CGT is its market value at the date of death, not what the person who died paid for it. If it was given to you, the cost is its market value on the day of the gift. Capital acquisitions tax, the tax on gifts and inheritances, is separate. The guide on selling an inherited house explains both.
When to pay, and when to file
CGT is paid before the return is filed, which catches people out.
| Contract date | Pay by | File the return by |
|---|---|---|
| 1 January to 30 November | 15 December in the same year | 31 October the following year |
| 1 to 31 December | 31 January the following year | 31 October the following year |
You pay through Revenue's online services, myAccount or ROS. The return is a CG1 form, or part of your income tax return if you file one. A return is required for the year of sale even where the relief covers the whole gain and no tax is due.
Sales over €1 million
On a sale for more than €1 million, the buyer must hold back 15% of the price and pay it to Revenue, unless you give them a CG50 clearance certificate. The certificate comes from Revenue and your solicitor applies for it. The guide on the CG50 clearance certificate explains how.
Two owners
Where two people own the home, each one has a gain of half, their own €1,270 exemption, and their own return. Spouses can use each other's unused losses. The calculator splits the figure per owner.
A home that was let for part of the time
This is the most common case. Count the days it was your main home, add the last twelve months, and divide by the days you owned it. That fraction of the gain is relieved. The rest is taxed. In the example above, about 50.3% of the gain was relieved and the rest was not. The guide on selling a rental property walks through a buy-to-let sale.
Where this leaves you
Put your dates, prices and costs into the capital gains tax calculator to see the gain, the relief, the tax at both rates and the dates to pay and file. The selling journey lists the other steps. A sale with tax due is one to talk through with your solicitor or a tax adviser before contracts are signed.
Questions people ask
Do I pay capital gains tax when I sell my house in Ireland?
Not if it was your main home for the whole time you owned it. That is principal private residence relief. If you let it out, or lived elsewhere for part of the time, part of the gain is taxed.
What is the capital gains tax rate in Ireland?
33% is the rate in force. A rate of 31% is announced for sales with a contract dated 7 October 2026 or later. The 31% rate is not law until the Finance Act 2026 passes.
How is capital gains tax calculated on a house?
The gain is the sale price less the costs of selling, less what you paid, the costs of buying and any improvements. Take off the part covered by main home relief and the €1,270 exemption. Tax the rest at the rate for your contract date.
When do I pay capital gains tax in Ireland?
By 15 December in the same year for a contract dated January to November. By 31 January the next year for a contract dated in December. The return is due by 31 October the following year.
What costs can I deduct from capital gains tax?
The costs of buying (solicitor, stamp duty, survey), the costs of selling (agent, solicitor, advertising) and money spent on improvements that are still there, such as an extension. Repairs, decorating and mortgage interest do not count.