| Rate | Single | Married Filing Jointly | Head of Household | Married Filing Separately |
|---|---|---|---|---|
| 0% | ≤ $48,350 | ≤ $96,700 | ≤ $64,750 | ≤ $48,350 |
| 15% | $48,351–$533,400 | $96,701–$600,050 | $64,751–$566,700 | $48,351–$300,000 |
| 20% | > $533,400 | > $600,050 | > $566,700 | > $300,000 |
The rate that applies is based on your total taxable income — wages, business income, plus the capital gain itself. If your salary puts you near a bracket threshold, a large capital gain can push part of it into the next bracket. The gain is "stacked on top" of your ordinary income. Use the calculator below to find your exact blended rate.
Assets held for 1 year or less are taxed as ordinary income — the same rates as your salary or wages. There are no preferential rates for short-term gains.
| Bracket | Single Filers | Married Filing Jointly | Head of Household |
|---|---|---|---|
| 10% | ≤ $11,925 | ≤ $23,850 | ≤ $17,000 |
| 12% | $11,926–$48,475 | $23,851–$96,950 | $17,001–$64,850 |
| 22% | $48,476–$103,350 | $96,951–$206,700 | $64,851–$103,350 |
| 24% | $103,351–$197,300 | $206,701–$394,600 | $103,351–$197,300 |
| 32% | $197,301–$250,525 | $394,601–$501,050 | $197,301–$250,500 |
| 35% | $250,526–$626,350 | $501,051–$751,600 | $250,501–$626,350 |
| 37% | > $626,350 | > $751,600 | > $626,350 |
| Bracket / Filing Status | 2025 Threshold | 2026 Threshold | Change |
|---|---|---|---|
| 0% — Single | $47,025 | $48,350 | +$1,325 |
| 0% — Married Jointly | $94,050 | $96,700 | +$2,650 |
| 15% top — Single | $518,900 | $533,400 | +$14,500 |
| 15% top — Married Jointly | $583,750 | $600,050 | +$16,300 |
| 20% — Single | > $518,900 | > $533,400 | Threshold up |
| Scenario | Holding Period | Rate | Tax on $50K Gain | After-Tax Proceeds |
|---|---|---|---|---|
| Sells at 11 months | Short-term | 22% | $11,000 | $139,000 |
| Waits 2 more months | Long-term | 15% | $7,500 | $142,500 |
| Same filer — low income year | Long-term | 0% | $0 | $150,000 |
Waiting just 2 more months saves $3,500 in this example. Timing the sale in a low-income year (sabbatical, early retirement, job transition) can save the entire $7,500.
Stocks · Real estate · Crypto · Short-term vs long-term — all 2026 brackets included. Enter any sale and see your exact federal tax.
Open Capital Gains Calculator →On top of the standard capital gains rates, the IRS charges an additional 3.8% Net Investment Income Tax if your Modified AGI exceeds:
These thresholds are NOT adjusted for inflation — they have been fixed since 2013. An increasing number of middle-class households are getting caught by the NIIT as incomes rise. The practical effect: many high earners pay 23.8% on long-term gains (20% + 3.8%) — not just 20%.
The federal rates above are only part of the picture. California taxes capital gains as ordinary income — a top state rate of 13.3%. Combined with 20% federal + 3.8% NIIT, a California high earner pays 37.1% on long-term capital gains. New York, New Jersey, Minnesota, and Oregon also have high state capital gains taxes. Always factor in your state rate when planning asset sales.
Standard short-term and long-term rules apply. Qualified dividends are also taxed at long-term capital gains rates — a major advantage over ordinary dividends.
The primary residence exclusion is one of the most valuable tax breaks available: exclude up to $250,000 of gains ($500,000 married) if you've lived in the home for 2 of the last 5 years. Gains above the exclusion are taxed at long-term rates. Investment properties don't qualify — and depreciation taken on rentals is "recaptured" at a flat 25% rate on sale.
Art, antiques, coins, and precious metals (physical) are taxed at a maximum 28% long-term rate — not the standard 20%. This applies regardless of income.
The IRS treats crypto as property. Every sale, trade, or use of crypto to buy goods is a taxable event. Same short-term vs long-term rules apply, but with far more complexity — trading BTC for ETH triggers capital gains on the BTC at the moment of the swap.
| Asset Type | Short-Term Rate | Long-Term Rate | Special Rules |
|---|---|---|---|
| Stocks / ETFs | Ordinary income (up to 37%) | 0% / 15% / 20% | Wash-sale rule applies |
| Real estate (primary home) | Ordinary income | 0% / 15% / 20% | $250K/$500K exclusion |
| Real estate (investment) | Ordinary income | 0%/15%/20% + 25% recapture | 1031 exchange defers tax |
| Collectibles | Ordinary income | Max 28% | No 0% bracket |
| Cryptocurrency | Ordinary income (up to 37%) | 0% / 15% / 20% | Every trade is taxable |
| Small business stock (§1202) | Ordinary income | Up to 100% exclusion | Qualified small business stock |
If your total taxable income (including the gain) stays under $48,350 (single) or $96,700 (married), long-term gains are taxed at 0% federally. Early retirees, those between jobs, or people in low-income years can strategically realize gains in this window — called "tax-gain harvesting." You're resetting your cost basis to a higher value, which reduces future gains when you eventually sell. Repeat annually as long as you're in the 0% bracket.
Long-term capital gains rates for 2026 are 0%, 15%, or 20% depending on taxable income and filing status. Single filers under $48,350 pay 0%; $48,351–$533,400 pay 15%; above $533,400 pay 20%. Short-term gains are taxed as ordinary income at 10%–37%.
For 2026, single filers with taxable income up to $48,350 pay 0% on long-term capital gains. Married filing jointly pay 0% up to $96,700. Head of household pay 0% up to $64,750. Taxable income includes the capital gain itself — a large gain can push you out of the 0% bracket.
The rates (0%, 15%, 20%) did not change. The income thresholds were adjusted for inflation. The 0% threshold for single filers increased from $47,025 to $48,350. The 15% bracket top increased from $518,900 to $533,400 for single filers.
The NIIT is an additional 3.8% tax on investment income — including capital gains — for single filers with Modified AGI over $200,000 and married filers over $250,000. High earners can therefore pay up to 23.8% on long-term gains (20% + 3.8%). These thresholds have not been inflation-adjusted since 2013.
Key strategies: hold assets over 1 year for long-term rates, use tax-loss harvesting to offset gains, invest through Roth IRA or 401k, time large gains in low-income years to use the 0% bracket, donate appreciated stock directly to charity, and use a 1031 exchange for real estate investment properties.