Calculator

Capital Gains Tax Calculator

See how the same gain is taxed differently depending on whether it's held short-term or long-term before selling.

← Read the Capital Gains Tax concept page

Purchase price

Sale price

Ordinary income rate (short-term)

Long-term capital gains rate

Capital gain

$3,000.00

Tax if short-term

$720.00

Tax if long-term

$450.00

How the math works

Gain: $8,000.00 − $5,000.00 = $3,000.00

Short-term (ordinary rate): $3,000.00 × 24% = $720.00
Long-term (LTCG rate):      $3,000.00 × 15% = $450.00

Same gain, same investment — holding it long-term instead of short-term before selling saves $270.00 in tax here, purely because of the holding period.