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Free Capital Gains Calculator

Free capital gains tax calculator for 2026. Calculate short-term (up to 37%) and long-term (0%, 15%, 20% + 3.8% NIIT) rates. No sign-up. Strategies included.

Last reviewed: January 2026 · Tax data verified against IRS Publication 15-T & state revenue departments

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How This Calculator Works

How long you hold an investment changes everything about the tax bill. Short-term gains (held a year or less) get taxed as ordinary income — up to 37%. Long-term gains (held more than a year) qualify for 0%, 15%, or 20%. On a $50,000 gain, the difference between short-term and long-term rates can be thousands of dollars.

For 2026, the 0% long-term rate applies if your total taxable income (including the gain) is under $47,025 (single) or $94,050 (married). The 15% rate covers most people, up to $518,900 (single) or $583,750 (married). Above that, it's 20%. These brackets are based on your total taxable income, not just the gain — so your salary can push you into a higher capital gains bracket.

Don't forget the Net Investment Income Tax (NIIT). That's an extra 3.8% on top when your MAGI exceeds $200,000 (single) or $250,000 (married).

A guy I know sold some stock after 11 months because he wanted the cash for a down payment. Held it just 3 more weeks and he would've qualified for long-term rates. Cost him about $4,000 in extra tax. That one still stings.

The effective top rate on long-term gains is 23.8% (20% + 3.8% NIIT), not the 20% most people quote. We factor in your ordinary income to figure out which bracket your gains fall into, and we show you the NIIT impact too.

Common tax-saving strategies worth knowing:
- Tax-loss harvesting: offset gains with losses to reduce your tax bill
- Watch your holding period: sometimes waiting a few weeks saves you thousands
- Donate appreciated assets to charity: you deduct the full value and never pay capital gains on it
Small decisions, big savings.

How It's Calculated

Formula

Tax = Gain × Rate, where Rate = 0%/15%/20% (long-term) or ordinary rate (short-term), plus 3.8% NIIT if applicable

Step-by-Step

  1. 1Determine holding period: >1 year = long-term, ≤1 year = short-term
  2. 2For long-term: apply 0% rate (income up to $48,350), 15% (up to $533,400), or 20% (above)
  3. 3For short-term: apply ordinary income brackets (10%–37%)
  4. 4Add 3.8% Net Investment Income Tax if modified AGI exceeds $200,000 (single) / $250,000 (MFJ)
  5. 5Subtract cost basis from sale price to determine gain
  6. 6Calculate total capital gains tax liability

Example

$50,000 long-term gain, single filer with $100,000 other income: Taxable income = $150,000. Rate = 15% + 3.8% NIIT. Tax ≈ $9,400.

For detailed data sources and full methodology, see our Methodology & Data Sources page.

Key Rates & Data for 2026

Short-Term Rate

Ordinary income (up to 37%)

Long-Term Rates

0% / 15% / 20%

NIIT Rate

3.8% (above $200K/$250K)

0% Bracket (Single)

Up to $47,025 taxable

Top Effective Rate (incl. NIIT)

23.8%

Capital Gains Tax FAQ

What's the difference between short-term and long-term capital gains?

The difference is huge and it all comes down to how long you held the asset. Short-term (one year or less) gets taxed at your regular income rate, which can go up to 37%. Long-term (more than a year) gets the preferential rates: 0%, 15%, or 20% depending on your taxable income. For 2026, the 0% rate covers income up to about $47K single / $94K married, 15% goes up to roughly $519K / $584K, and 20% kicks in above that. Holding for that extra day past a year can literally save you thousands.

How are cryptocurrency gains taxed?

The IRS treats crypto as property, so it follows the same rules as stocks. Hold for over a year and you get the lower long-term rates. Sell sooner and it's ordinary income rates. Here's what trips people up: swapping one crypto for another counts as a taxable event, not just cashing out to dollars. Using crypto to buy stuff? Also taxable. Keep good records.

What is the Net Investment Income Tax (NIIT)?

It's an extra 3.8% tax that kicks in on your investment income — capital gains, dividends, interest, rental income — when your modified AGI goes over $200K (single) or $250K (married). The tax applies to whichever is less: your net investment income or the amount your MAGI exceeds the threshold. So in practice, the top long-term capital gains rate is really 23.8% when you factor this in. Fun times.

How can I reduce my capital gains tax?

A few solid moves here. First, just hold longer — getting past that one-year mark drops your rate significantly. Tax-loss harvesting is another big one: sell your losers to offset your winners, and you can deduct up to $3K in net losses against ordinary income per year. If your income happens to be low in a given year, you might qualify for the 0% long-term rate, so timing matters. Stuffing money into tax-advantaged accounts like a 401(k) or IRA lowers your overall taxable income too. And if you're feeling generous, donating appreciated assets to charity lets you skip the capital gains tax entirely while still deducting the fair market value.

Do I have to pay capital gains tax on my primary home?

You might not! If you've owned and lived in the home for at least 2 of the last 5 years, you can exclude up to $250K in gains (single) or $500K (married). Anything above that gets taxed as a long-term capital gain. You can use this exclusion once every 2 years. Investment properties and vacation homes don't qualify, though.

What are the 2026 capital gains tax brackets?

Long-term rates for 2026: 0% on taxable income up to $47,025 (single) / $94,050 (married) / $63,000 (HOH). Then 15% up to $518,900 / $583,750 / $551,350. Above those thresholds, it's 20%. These brackets are based on your total taxable income, not just the gains. Short-term gains just use the ordinary brackets: 10%, 12%, 22%, 24%, 32%, 35%, and 37%.

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