Capital Gains Tax Calculator
Estimate the federal tax on an investment sale. Long-term gains get the favorable 0/15/20% rates; short-term gains are taxed as ordinary income.
Tax software that handles investment sales
Learn moreLong-term vs short-term
Hold an asset more than a year and the gain qualifies for long-term rates of 0%, 15% or 20% depending on your income — far lower than ordinary rates. Sell within a year and the gain is short-term, taxed like your salary. The one-year line is the single biggest lever on the bill.
How it’s calculated & sources
Gain = sale price − cost basis. Long-term gains stack on top of your other taxable income across the 2025 0/15/20% brackets for your filing status; short-term gains stack across the ordinary brackets. State tax and the 3.8% net investment income tax are not included.
Source: IRS 2025 long-term capital-gains brackets and ordinary income brackets. Figures are federal only.
Results update as you type and are general estimates, not personalized financial, tax, medical or legal advice. Verify with a professional.
Worked example
An $8,000 long-term gain for a single filer with $80,000 of other income falls entirely in the 15% band — about $1,200 of tax, leaving $16,800 of the $18,000 sale.
Frequently asked questions
What is cost basis?
What you paid, including commissions and reinvested dividends. A higher basis means a smaller taxable gain.
Does selling my home count?
Primary-home sales get a separate exclusion (up to $250k single / $500k joint) — this tool is for investments like stocks and funds.
Are state taxes included?
No — many states tax capital gains as ordinary income. Add your state rate separately.