Capital Gains Tax Calculator
Calculate federal and state capital gains taxes on your investments. Compare short-term vs. long-term rates and plan tax-loss harvesting.
Investment Details
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Preferential tax rates: 0%, 15%, or 20%
Tax Information
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Transaction Summary
Purchase Price:$50,000
Sale Price:$75,000
Capital Gain:$25,000
Total Tax
$7,075
Federal Tax
$3,750
State Tax
$3,325
Net Proceeds (After Tax)
$67,925
Effective Tax Rate
28.30%
Federal Marginal Rate
15.0%
Tax Breakdown
Short-Term vs. Long-Term Comparison
Short-Term (≤1 year)
$8,825
Ordinary income rates
Long-Term (>1 year)
$7,075
Preferential rates
Potential Savings by Holding >1 Year:
$1,750
Understanding Capital Gains Tax
Long-Term vs. Short-Term
- •Long-Term (>1 year): 0%, 15%, or 20% federal rates based on income
- •Short-Term (≤1 year): Taxed as ordinary income (10%-37%)
- •Holding period starts: Day after purchase, ends on sale date
Tax Minimization Strategies
- •Hold >1 year: Qualify for lower long-term rates
- •Tax-Loss Harvesting: Offset gains with losses
- •0% Rate: Keep income below $44,625 (single) for 0% LTCG
- •Retirement Accounts: No capital gains tax in IRAs/401(k)s
2024 Long-Term Rates
Single Filers:
• 0% rate: Income up to $44,625
• 15% rate: $44,626 to $492,300
• 20% rate: Over $492,300
Married Filing Jointly:
• 0% rate: Income up to $89,250
• 15% rate: $89,251 to $553,850
• 20% rate: Over $553,850
Important Notes
- NIIT: Additional 3.8% Medicare tax for high earners
- State Taxes: Vary widely (0% to 13.3%)
- Capital Losses: Offset gains + $3,000 ordinary income/year
- Wash Sale Rule: Can't claim loss if repurchasing within 30 days
- Cost Basis: Include purchase price + fees/commissions