Taxes Management Act 1970 section 59AA

Non-resident CGT disposals: payments on account of capital gains tax

Section 59AA requires persons making non-resident capital gains tax (CGT) disposals to make payments on account of their capital gains tax liability within 60 days of completion.

• When a non-resident person disposes of UK land or property that gives rise to a capital gains tax charge, they must make a payment on account of the CGT due within 60 days of the disposal completing.
• The payment on account is based on the person's reasonable estimate of the capital gains tax attributable to that disposal, taking into account any available reliefs, losses or the annual exempt amount.
• This obligation applies alongside the normal self-assessment process — any overpayment made on account is credited against the person's overall CGT liability for the tax year and refunded if appropriate, while any underpayment remains due under the usual self-assessment rules.
• The provision was amended by Finance Act 2019, Schedule 2, paragraph 25(11), which extended the scope of non-resident CGT disposals to cover all UK land disposals by non-residents, not just residential property, with effect from April 2019.

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