Capital Gains Tax Calculator

Calculate federal capital gains tax on investment sales. Compare short-term (ordinary income) vs long-term (0%, 15%, 20%) rates.

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Capital Gain
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Tax Rate
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Tax Owed
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After-Tax Proceeds
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Effective Rate on Sale

Understanding Capital Gains Tax

Capital gains tax applies when you sell an investment for more than you paid. The tax rate depends on how long you held the asset and your income level. Short-term gains (held less than 1 year) are taxed as ordinary income (10-37%). Long-term gains (held 1+ year) enjoy preferential rates of 0%, 15%, or 20%.

2025-2026 Long-Term Capital Gains Brackets

0% rate: Single filers with taxable income up to $47,025; married up to $94,050. 15% rate: Single up to $518,900; married up to $583,750. 20% rate: Above those thresholds. An additional 3.8% Net Investment Income Tax applies to individuals with income above $200,000 (single) or $250,000 (married).

Tax-Loss Harvesting

You can offset capital gains with capital losses. If you sell investments at a loss, those losses reduce your taxable gains dollar-for-dollar. Up to $3,000 of net losses can be deducted against ordinary income each year, with excess losses carried forward to future years. Track your investments with our ROI Calculator.

Frequently Asked Questions

What is the capital gains tax rate for 2026?
Long-term: 0% (low income), 15% (most taxpayers), or 20% (high income). Short-term: taxed as ordinary income at your marginal rate (10-37%). The 3.8% NIIT may also apply.
How can I minimize capital gains tax?
Hold investments for at least 1 year to qualify for lower long-term rates. Use tax-loss harvesting. Maximize contributions to tax-advantaged accounts (Roth IRA, 401K). Consider timing sales in lower-income years.
Does this apply to home sales?
Home sales have a special exclusion: $250,000 (single) or $500,000 (married) of gain is tax-free if you've lived in the home for 2+ of the last 5 years. Gains above the exclusion are taxed at capital gains rates.