2026 capital gains tax rates: 0%, 15%, 20%, plus the 3.8% surtax

The 2026 capital gains tax rates are 0%, 15% and 20% on long-term gains, set by taxable income. Here are the limits, the 3.8% surtax and a $300,000 example.

Vishant Mehta, CPA, Ex-Big 4

Published October 9, 2026

capital gains tax
high earners
net investment income tax
qualified dividends
2026 tax rates

The 2026 capital gains tax rates are 0%, 15% and 20% on long-term gains, which come from assets held more than one year. Your taxable income sets the rate. Short-term gains, from assets held one year or less, are taxed as ordinary income at 10% to 37%.

High earners can owe a 3.8% surtax on top, the net investment income tax. It starts once modified AGI passes $200,000 for a single filer, or $250,000 on a joint return. That makes the top federal rate on a long-term gain 23.8%.

Long-term gains	0%, 15% or 20%, by taxable income
Short-term gains	Ordinary rates, 10% to 37%
Long-term means	Held more than one year
3.8% surtax	Above $200,000 of modified AGI, or $250,000 joint
Top federal rate	23.8% long-term, 40.8% short-term
Status on October 9, 2026	The IRS has not yet published the 2027 limits

What are the capital gains tax brackets for 2026?

For 2026, a single filer pays 0% on long-term gains up to $49,450 of taxable income, 15% up to $545,500 and 20% above. Each filing status has its own limits.

Filing status	0% up to	15% up to
Single	$49,450	$545,500
Married filing jointly	$98,900	$613,700
Head of household	$66,200	$579,600
Married filing separately	$49,450	$306,850

The limits measure taxable income after deductions, with the gain included. Your gain sits on top of your other income, so a large gain spills from 0% into 15%.

Which rules set the rate on a capital gain?

Six rules decide what you pay on a sale.

Holding period. A gain is long-term if you held the asset more than one year. Count from the day after you bought it, through the day you sold it.
Short-term gains. These are taxed with your wages, at your ordinary rate of up to 37%.
Long-term gains. These get 0%, 15% or 20%, set by your taxable income with the gain included.
The 3.8% surtax. The net investment income tax adds 3.8% to gains and dividends once modified AGI passes your threshold.
Special rates. Unrecaptured section 1250 gain, the part of a real estate gain from past depreciation, is taxed at up to 25%. Collectibles such as art and coins are taxed at up to 28%.
Losses. Capital losses offset capital gains first. Up to $3,000 of any excess offsets other income ($1,500 if married filing separately), and the rest carries forward.

How much capital gains tax will I pay on $300,000?

A single filer with a $300,000 long-term gain and no other income would owe $38,967.50 of federal tax for 2026. That is about 13% of the gain.

Step	Amount
Long-term gain and modified AGI	$300,000
Less the 2026 standard deduction	$16,100
Taxable income	$283,900
0% on the first $49,450	$0
15% on the next $234,450	$35,167.50
3.8% on the $100,000 above $200,000	$3,800
Total federal tax	$38,967.50

A married couple filing jointly with the same gain would owe $27,235. That is $25,335 of capital gains tax plus $1,900 of surtax.

Held one year or less, the same gain would be short-term and taxed at $68,134.25 under the ordinary brackets. With the same $3,800 surtax, the total is $71,934.25, about $33,000 more.

State tax can come on top. Washington, for one, has its own capital gains tax.

Are qualified dividends taxed at the same rates as long-term gains?

Yes, qualified dividends get the same 0%, 15% and 20% rates as long-term gains, under the same income limits. Dividends that do not qualify are taxed at your ordinary rate, up to 37%.

A dividend qualifies when it comes from a US company or a qualified foreign company and you held the shares long enough. For common stock, that means more than 60 days in the 121-day period that starts 60 days before the ex-dividend date. Most REIT dividends do not qualify.

When does the 3.8% surtax apply on top?

The 3.8% net investment income tax applies once modified AGI passes $200,000, or $250,000 on a joint return. Married couples filing separately have a $125,000 threshold. The tax falls on the smaller of your net investment income or the amount over the threshold.

Your salary counts toward modified AGI, so wages can push your gains into the surtax. A single filer with a $250,000 salary and a $50,000 gain owes 3.8% on the full $50,000, which is $1,900. The thresholds are fixed in the law and are not adjusted for inflation. See how the net investment income tax works.

When does timing change the tax?

These dates set the rate and the year the tax is due.

Date	What it decides
The day after you buy	Your holding period starts
More than one year later	A sale gets long-term rates
December 31, 2026	Last trade date for a 2026 gain or loss
January 15, 2027	Last estimated tax payment for 2026
April 15, 2027	Your 2026 return and tax are due

The trade date counts, not the settlement date. A sale on December 31, 2026 is a 2026 sale even if it settles in January.

What should you do now?

Check the purchase date of each lot before you sell. A few more days can turn a short-term gain into a long-term one.
If your taxable income will stay under the 0% limit this year, consider taking gains at 0%. The wash sale rule applies only to losses, so you can buy the shares straight back at a higher cost basis. The new shares start a new holding period.
To offset gains with losses, do not buy the same shares within 30 days before or after the loss sale. That is the wash sale rule.
No tax is withheld on a gain. Pay estimated tax, or raise your withholding, to meet the safe harbor.
Check this page before you plan 2027 sales. We will add the 2027 limits when the IRS publishes them.

For planning across the year, see our tax planning for high earners.