Does the 3.8% NIIT apply?

For high earners (MAGI > $200k single / $250k MFJ), an additional 3.8% Net Investment Income Tax applies on top. This calculator doesn't include it — add it separately if you cross the threshold.

What about state capital gains tax?

Most states tax capital gains as ordinary income — California up to 13.3%, no special rate. A few states (WA, TN, FL, TX, NV, NH, AK, SD, WY) don't tax capital gains at all.

Does the 3.8% NIIT apply?

For high earners (MAGI > $200k single / $250k MFJ), an additional 3.8% Net Investment Income Tax applies on top. This calculator doesn't include it — add it separately if you cross the threshold.

What about state capital gains tax?

Most states tax capital gains as ordinary income — California up to 13.3%, no special rate. A few states (WA, TN, FL, TX, NV, NH, AK, SD, WY) don't tax capital gains at all.

Capital Gains Tax Calculator

Short-term vs long-term capital gains tax — federal rates only.

Result

Capital gains tax

$3,750.00

Effective rate on gain15.00%
After-tax gain$21,250.00
Long-term rate (preferential)0% / 15% / 20%
Taxed at 0%$0.00
Taxed at 15%$25,000.00 → $3,750.00
Taxed at 20%$0.00 → $0.00

Your long-term tax

Effective 15.00% on $25,000 gain.

$3,750.00

If short-term (ordinary)

Held ≤1 year — taxed at ordinary brackets.

$5,500.00

After-tax gain

$21,250.00

0% LT bracket ceiling

Long-term gains stacked under this threshold are tax-free.

$47,025.00 (single, 2024)

Source: IRS Topic 409 (capital gains); Revenue Procedure 2023-34 for the 2024 0/15/20% breakpoints.

Not financial advice — Federal-only — state capital-gains rules vary widely. Excludes the 3.8% Net Investment Income Tax for higher earners (MAGI > $200k single / $250k MFJ), AMT, wash-sale rules, and § 1411/§ 121 special cases (home-sale exclusion). Collectibles and § 1250 unrecaptured gains use different rates.

How to use this calculator

Enter the dollar amount of your gain (sale price minus cost basis).
Pick short-term or long-term based on holding period.
Add your other taxable income — the calculator stacks the gain on top.
Toggle short vs long to see why holding past 1 year often saves real money.

About this tool

Capital gains tax depends on how long you held the asset before selling. Held ≤ 1 year (short-term)? Taxed at your ordinary income rate — same as your salary. Held > 1 year (long-term)? Preferential rates kick in: 0%, 15%, or 20% based on your total taxable income. The 0% bracket is bigger than people realize — for 2024, a single filer with under $47k taxable income pays zero federal tax on long-term gains. This calculator stacks the gain on top of your other income (matching how the IRS actually computes it) so the answer reflects how the brackets split your gain.

Frequently asked

US tax policy historically rewards long-term investment vs. short-term trading. The preferential rates are 0%, 15%, 20% for long-term; short-term is just your ordinary income rate (10-37%).