Question 1

What is the difference between long-term and short-term capital gains?

Accepted Answer

The difference is the holding period. Assets held for more than one year produce long-term capital gains, which are taxed at preferential rates of 0%, 15%, or 20%. Assets held for one year or less produce short-term capital gains, which are taxed as ordinary income at your regular marginal rate.

Question 2

What tax rate applies to long-term capital gains?

Accepted Answer

Long-term capital gains are taxed at 0%, 15%, or 20% depending on your total taxable income and filing status. Lower-income taxpayers may pay 0%, most middle-income taxpayers pay 15%, and high-income taxpayers pay 20%.

Question 3

What is the Net Investment Income Tax (NIIT)?

Accepted Answer

The NIIT is a 3.8% tax on net investment income (such as capital gains, interest, and dividends) for taxpayers whose income exceeds a threshold: $200,000 for single filers, $250,000 for married filing jointly, and $125,000 for married filing separately.

Question 4

How are short-term capital gains taxed?

Accepted Answer

Short-term capital gains are added to your ordinary income and taxed at your regular marginal income tax rate. This is generally higher than the preferential long-term capital gains rates.

Calculateur d'impôt sur les plus-values

Calculateur d'impôt sur les plus-values

Votre impôt sur les plus-values

Fonctionnement de l'impôt sur les plus-values

1. Période de détention

2. Taux préférentiels

3. Taux ordinaires

4. NIIT (impôt sur le revenu net des investissements)