Capital Gains Tax Calculator: Estimate Tax on Your Investment Profits
A capital gains tax calculator helps you estimate how much tax you owe when you sell an investment for more than you paid. The calculation starts with your cost basis — the purchase price plus any acquisition costs such as commissions or fees. Subtract the cost basis and any selling costs from the sale price to find your capital gain or loss. This tool then applies your tax rate to show the estimated tax owed, your after-tax profit, and the net proceeds you actually keep.
Capital gains fall into two categories that are taxed very differently. A short-term capital gain applies to assets held for one year or less and is generally taxed at your ordinary income rate, which can be significantly higher. A long-term capital gain applies to assets held for more than one year and usually qualifies for a lower preferential rate. Because your exact rate depends on your income, filing status, and where you live, this calculator lets you enter the applicable tax rate yourself rather than guessing on your behalf.
If you sell at a loss, no capital gains tax is due on that transaction. Capital losses can often be used to offset capital gains, a strategy known as tax-loss harvesting, which can lower your overall tax bill. Holding an asset longer to reach long-term status, tracking your full cost basis, and timing sales across tax years are all common ways investors legally reduce what they owe. The net proceeds figure shows the cash you receive from the sale after selling costs and estimated tax.
All calculations run entirely in your browser, so your financial figures are never uploaded or stored. The default rates shown here are US-oriented examples that change every year, so always verify the current figures with the IRS or a qualified tax professional before making decisions. To plan the bigger picture, pair this tool with our investment calculator, compound interest calculator, and retirement calculator.