PersonalCFO

Capital Gains Tax Calculator

Calculate your tax on investment gains with proper bracket stacking. Long-term capital gains and qualified dividends are taxed at preferential rates (0%, 15%, or 20%) that stack on top of your ordinary income.

Your Income

$
$
Interest, pensions, etc.

Investment Gains

$
Held > 1 year
$
Held ≤ 1 year
$
Taxed at LTCG rates

How Capital Gains Tax Works

Long-term gains(assets held >1 year) and qualified dividends are taxed at 0%, 15%, or 20% depending on your total taxable income. The key is stacking: your ordinary income fills the brackets first, then capital gains are taxed at whatever rates remain.

Short-term gains(assets held ≤1 year) are taxed as ordinary income at your marginal rate — up to 37% federal.

Net Investment Income Tax (NIIT): An additional 3.8% tax applies to investment income when your MAGI exceeds $200,000 (single) or $250,000 (married filing jointly). This threshold is not indexed for inflation.

State taxes vary widely. Most states tax capital gains as ordinary income. Washington state imposes a separate 7% excise tax on long-term gains above $270,000.