Capital Gains Tax Brackets And Tax Tables For 2025 & 2026

Each yearthe IRS adjusts federal income brackets and thresholdsand capital gains taxes are no exception. Whether you hold stockreal estateor other capital assetsknowing the correct long-term and short-term rates—and how they might shift—is critical to planning your investments and understanding your tax bill. 

We’ll break down the 2025 capital gains tax bracketshighlight the newly released 2026 bracketsshow you how to calculate your gainand share strategies to potentially reduce what you owe.

Use the tablesexamplesor The College Investor's Capital Gains Tax Calculator to see exactly where you fall and what changes you need to watch. 

Note: This article is updated annually. The 2026 capital gains brackets was added on October 102025.

2025 Capital Gains Tax Brackets

There are two main categories for capital gains: short- and long-term. Short-term capital gains are taxed at your ordinary income tax rate. Long-term capital gains are taxed at only three rates: 0%15%and 20%.

Rememberthis isn't for the tax return you file in 2025but ratherany gains you incur from January 12025 to December 312025. You'll file this tax return in 2026.

The actual rates didn't change for this yearbut the income brackets did adjust significantly due to rising inflation.

Short-Term Capital Gains Rates

Tax rates for short-term gains are 10%12%22%24%32%35%and 37%.

Short-term gains are for assets held for one year or less - this includes short term stock holdings and short term collectibles and crypto.

Long-Term Capital Gains Rates

Just like short-term gainsthere are four filing categories: singlemarried and filing jointlyhead of householdand married and filing separately. The amount of taxes paid is based on income.

The brackets adjusted upwards for 2025 due to rising inflation.

Long-term gains are those on assets held for over a year. Belowthe percentage of taxes paid are listed on the left with the corresponding income on the right.

Net Investment Income Tax (Medicare Tax)

The Net Investment Income Tax (NIIT) or Medicare Tax applies at a rate of 3.8% to certain net investment income of individualsestates and trusts that have income above the statutory threshold amounts.

In generalinvestment income includesbut is not limited to: interestdividendscapital gainsrental and royalty incomenon-qualified annuitiesincome from businesses involved in trading of financial instruments or commodities and businesses that are passive activities to the taxpayer

Individuals will owe the tax if they have Net Investment Income and also have modified adjusted gross income over the following thresholds:

Collectible Long Term Capital Gains Rate

Collectibles held over one year are always taxed at 28%. 

Collectibles include gold and silverart workrare coinsantiquesand more.

2026 Capital Gains Tax Brackets

Here are the 2026 capital gains tax brackets and rates.

The actual rates didn't change for this yearbut the income brackets did adjust significantly due to rising inflation.

Short-Term Capital Gains Rates

Tax rates for short-term gains are 10%12%22%24%32%35%and 37%.

Short-term gains are for assets held for one year or less - this includes short term stock holdings and short term collectibles and crypto.

Long-Term Capital Gains Rates

Just like short-term gainsthere are four filing categories: singlemarried and filing jointlyhead of householdand married and filing separately. The amount of taxes paid is based on income.

The brackets adjusted upwards for 2026 due to rising inflation.

Long-term gains are those on assets held for over a year. Belowthe percentage of taxes paid are listed on the left with the corresponding income on the right.

Net Investment Income Tax (Medicare Tax)

The Net Investment Income Tax (NIIT) or Medicare Tax applies at a rate of 3.8% to certain net investment income of individualsestates and trusts that have income above the statutory threshold amounts.

In generalinvestment income includesbut is not limited to: interestdividendscapital gainsrental and royalty incomenon-qualified annuitiesincome from businesses involved in trading of financial instruments or commodities and businesses that are passive activities to the taxpayer

Individuals will owe the tax if they have Net Investment Income and also have modified adjusted gross income over the following thresholds:

Collectible Long Term Capital Gains Rate

Collectibles held over one year are always taxed at 28%. 

Collectibles include gold and silverart workrare coinsantiquesand more.

Prior Years Capital Gains Tax Tables 

Are you looking for capital gains tax brackets for prior years? Check out the drop down list belowfind your yearand you can see the brackets:

When you sell a stock for a profityou realize a capital gain. Basicallywhen most assets are sold for a profita capital gain is generated. Profits or gains are taxable. How much you’ll pay depends on a number of factorsincluding the current tax bracketswhich change periodically.

Personal assets and investments are called capital assets. This includes your homecarinvestmentsrecreational vehicleand more. IRS Topic Number 409 covers these items in more detail. A capital gain or capital loss is based on the difference between the asset sale price and your adjusted basiswhich is referenced in IRS Publication 551.

Calculating Capital Gains and Losses

While you can have a capital gain from the profitable sale of an assetyou can also have a capital loss from the sale of an asset below your purchase price or adjusted basis.

As an examplesay you buy and sell stock in the same year up to November. Your trading has netted $10,000 in profits. These profits are classified as short-term gains because they’re less than a year old. Then in December of the same yearyou sell more stock for a loss of $3,000. Your capital gain is reduced to $7,000.

A different investor buys and sells some stock during a year and manages to lose $5,000. This investor has a capital loss of $5,000 but can only declare $3,000 ($1,500 if married filing separately) for the current year. What happens to the remaining $2,000?

The $2,000 capital loss in the previous example is carried over to the next year. It can be applied as a capital loss. Using another exampleour investor has a capital gain of $10,000 in the next year. They can offset this gain and reduce their taxes by the amount carried over from the previous year: $2,000. Their new capital gain is then $8,000.

With capital gainsyour capital gain is stacked on top of other ordinary income before the bracket and rate is calculated. This does leave some planning opportunity to try and minimize the taxes paidbut given the 0% bracket is relatively lowit likely means your gains will extend into other brackets.

While at the marginal levelcapital gains are flat taxed - in practiceyour gain can be subject to different tax rates depending on the amount of the gain. You can see this in the tax brackets section above. If you are single and make a $45,000 capital gain on top of your $40,000 in ordinary incomeyour long-term capital gains tax bracket is 15%. You will then pay $6,750 ($45,000 x 0.15) in taxes on this gain.

Howeverif you're singleand have no other income other than your $45,000 capital gainyour first $40,000 would be in the 0% bracketand the remaining $5,000 would be taxed at 15%.

If this sounds confusingcheck out our Capital Gains Tax Calculator and Estimator.

How to Reduce Your Taxes

Nobody likes paying taxes and everyone is looking for ways to reduce them. There are a few ways that you can reduce your capital gains taxes.

Keeping Investments for at Least a Year

If you hold investments for at least a year before sellingyou’ll be able to take advantage of long-term gains.

Use a Robo-Advisor

Robo-advisors have become very popular. While they haven’t yet replaced financial advisorsfor most peoplethey can help save on taxes.

Robo-advisors use a method called tax-loss harvesting. By selling losersgains on winners are offset. Of courseyou can perform tax-loss harvesting manually. Howeverrobo-advisors make this task easy through the use of automation.

It seems there is nowhere to hide from taxes. But arming yourself with knowledge about capital gains taxes can help you save money. We’ve already seen a few practical tips. Your accountant is likely to have more. Ask your accountant questions throughout the year so you can set yourself up for maximizing capital gains tax reductions.

Common Capital Gains Questions

Q: What counts as a long-term vs short-term capital gain?

A: If you hold an asset (stockreal estateetc.) for more than one year before sellingit qualifies for long-term capital gains rates (0%15%20%). If held for one year or lessgains are taxed as ordinary income (short-term).

Q: How does the Net Investment Income Tax (NIIT) factor in?

A: If your modified adjusted gross income (MAGI) exceeds certain thresholds ($200,000 unmarried$250,000 married filing jointlyetc.)you may owe an additional 3.8% on net investment income (including capital gains).

Q: Can my capital losses offset gains?

A: Yes. Capital losses first offset capital gains (short-term vs long-term matching). If losses exceed gainsyou can deduct up to $3,000 ($1,500 if married filing separately) of the excess against ordinary income. Any remainder carries forward.

Q: Are collectibles taxed differently?

A: Yes — long-term gains from collectibles (e.g. artrare coinsantiques) are taxed at a maximum 28% rateregardless of your income level.

Q: If my ordinary income is lowcan I qualify for the 0% long-term rate?

A: It’s possible. If your total taxable income (ordinary income + gains) stays under the 0% bracket threshold for your filing statusthen your long-term gains may be taxed at 0%. But once you cross that thresholdthe excess moves into the next bracket (15%).

Q: When should I sell to minimize taxes?

A: It depends on your income leveltimingand strategy. Sometimes it makes sense to wait for a year so gains qualify for long-term treatment; other times to harvest losses to offset gains. Always factor in your current year’s incomeupcoming changesand state or local taxes.

Q: Will Congress change these brackets mid-year?

A: It’s possiblethough rare. If tax laws change (due to new legislation or budget acts)we’ll update this page. Watch the top of the article for update notices.

Q: How do I estimate my capital gains tax liability?

A: Use a capital gains tax calculator or worksheets with your projected income + gains. Input your filing statustax bracketsand apply the relevant ratesthen layer in NIIT if applicable.