How this calculator works
Short-term gains (one year or less) are taxed as ordinary income on top of your other income. Long-term gains stack on top of your taxable income and are taxed at 0%, 15% or 20% depending on where they fall in the 2026 thresholds. The 3.8% net investment income tax applies above $200,000 of income ($250,000 married filing jointly).
Worked example
With the example values below: Estimated tax on the gain, $2,250 (15.0% effective rate). Change any number above to run your own.
What you enter
| Input | Example |
|---|---|
| Purchase price (cost basis) | $20,000 |
| Sale price | $35,000 |
| Held for | More than one year |
| Filing status | Single |
| Taxable income, excluding this sale | $90,000 |
Frequently asked questions
What is the capital gains tax rate for 2026?
Long-term gains are taxed at 0%, 15% or 20%. In 2026 the 0% rate applies up to $49,450 of taxable income for single filers ($98,900 married filing jointly), and 20% applies above $545,500 ($613,700 married filing jointly). Short-term gains are taxed at your ordinary income rate.
What's the difference between short-term and long-term capital gains?
It depends on how long you held the asset. Sold after one year or less, the gain is short-term and taxed like wages. Held more than one year, it's long-term and qualifies for the lower 0%, 15% or 20% rates.
How can I reduce capital gains tax?
Hold investments for more than a year, offset gains with losses (up to $3,000 of net losses a year can also offset ordinary income), and invest through tax-advantaged accounts such as a 401(k) or IRA. Profit on selling your main home is excluded up to $250,000 ($500,000 married filing jointly) if you meet the ownership and use tests.
Grow what this calculator projects.
TruthSayer AI sends quantitative stock signals across valuations, earnings and dark-pool activity, each one traded in its own funded account first.
Estimates for planning only, not financial, tax or legal advice. Tax tools use 2026 federal figures (brackets, $16,100 / $32,200 standard deduction, $19,000 gift exclusion, $15M lifetime exemption). Rates shown as defaults are examples; replace them with quotes you actually receive.