Capital Gains Tax Calculator
Estimate 2026 federal tax on investment gains. Compare short-term vs. long-term treatment with gains stacked on your other income.
Enter a purchase price, sale price, holding period, and other taxable income to estimate the 2026 federal tax on your capital gain. Long-term gains (held over a year) get preferential 0%/15%/20% rates stacked on top of your other income; short-term gains are taxed as ordinary income.
Tax year 2026: long-term thresholds per IRS Rev. Proc. 2025-32 §3.03; short-term gains use 2026 ordinary brackets. Gains stack on top of your other taxable income. Excludes the 3.8% Net Investment Income Tax and state taxes. Estimates only, not tax advice.
How to use this calculator
- Enter the price you paid (your cost basis) and the price you sold for.
- Choose your holding period: more than one year is long-term, one year or less is short-term.
- Enter your other taxable income for the year so long-term gains stack correctly.
- Select your filing status and click Calculate.
The formula
Gain = sale price − purchase price. Long-term: 0% on the gain inside the 0% band, 15% in the 15% band, 20% above (stacked on other taxable income). Short-term: ordinary 2026 brackets on (other income + gain) minus ordinary tax on other income alone.
Worked example
A single filer with no other income buys stock for $10,000 and sells a year and a day later for $60,000. The $50,000 long-term gain stacks from $0: the first $49,450 is taxed at 0% and the remaining $550 at 15%, for a total tax of $82.50 — versus $5,752 if sold a day earlier as a short-term gain.
Frequently Asked Questions
What is the difference between short-term and long-term capital gains?
It comes down to holding period. Sell an asset you have held for one year or less and the gain is short-term, taxed as ordinary income at your regular 10%–37% rate. Hold it for more than a year and it is long-term, taxed at preferential rates of 0%, 15%, or 20% for 2026. The holding-period line is one of the biggest levers in investment tax planning.
What are the 2026 long-term capital gains brackets?
For 2026, a single filer pays 0% on long-term gains that keep taxable income at or below $49,450, 15% up to $545,500, and 20% above that, per IRS Revenue Procedure 2025-32 section 3.03. Married couples filing jointly get roughly double those thresholds ($98,900 / $613,700). These apply to taxable income including your other income — the gain stacks on top.
How does my other income affect the tax on my gain?
Capital gains stack on top of your ordinary taxable income when the preferential rates are applied. If your salary already fills the 0% band, your entire gain is taxed at 15% or 20%. That is why this calculator asks for other taxable income — ignoring it is the most common mistake in DIY gain estimates.
Does this include the 3.8% Net Investment Income Tax?
No. High earners (over $200,000 single / $250,000 joint in modified AGI) owe an additional 3.8% on investment income. This tool also excludes state capital gains taxes, which can add significantly in some states. Treat the result as the base federal tax on the gain.
What about losses?
If you sold at a loss there is no tax on the transaction — in fact, capital losses can offset gains, and up to $3,000 per year of net loss can offset ordinary income, with the rest carried forward. This calculator shows $0 tax for a sale below purchase price.