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Capital Gains Tax Calculator
Capital gains tax across the US (0/15/20 + NIIT), India (§112A 12.5% + ₹1.25L), and UK (18/24 + £3,000) — with the loss-harvesting planner. Accurate, instant and free — for US · India · UK.
What these mean:
What these mean:
Long-term gain of $50,000: CGT $7,500 = $7,500 total (15.0% effective rate).
Gain vs tax
- Net gain · 85%$42,500
- Tax · 15%$7,500
How capital gains tax is calculated — across the US, India and the UK
The calculation is the same three-step shape in every jurisdiction — gain → exemption → rate — but the exemption and the rate are geo-, term-, and income-band specific. This tool runs the current rules for each country: US (0/15/20% + NIIT 3.8%), India (§112A/§111A 12.5%/20% + ₹1.25 lakh exemption), and UK (18%/24% + £3,000 allowance). Figures are stamped to TY/FY 2025-26 and cross-checked against the IRS, the Income-Tax Department, and GOV.UK.
United States
0/15/20% LT + NIIT 3.8%
tax = gain × LT-rate + NIIT
- LT gain stacks on income → 0 / 15 / 20%
- ST gain taxed as ordinary income (10–37%)
- NIIT 3.8% over MAGI $200k / $250k
- No annual exemption
Top all-in long-term rate: 23.8% (20% + NIIT).
India
§112A 12.5% + ₹1.25L exemption
tax = (gain − ₹1.25L) × 12.5% + 4% cess
- Equity LTCG §112A: 12.5%, ₹1.25L exempt
- Equity STCG §111A: 20%
- + 4% Health & Education Cess
- 31-Jan-2018 FMV grandfathering (pre-2018)
No indexation post-Budget-2024 (equity).
United Kingdom
18/24% + £3,000 AEA
tax = (gain − £3,000) × 18% or 24%
- 18% within remaining basic-rate band
- 24% above (unified property & shares)
- £3,000 Annual Exempt Amount
- Rate depends on income band, not holding
Effective from 30 October 2024.
- 1US — $50,000 long-term gain, single, $120,000 taxable income (TY-2026): The gain stacks on income: $120,000 + $50,000 = $170,000, which is below the $545,500 ceiling, so the whole gain falls in the 15% band → $50,000 × 15% = $7,500. MAGI $170,000 is below the $200,000 NIIT threshold → no NIIT.
- 2India — ₹3,00,000 LTCG on listed equity (STT paid), FY 2025-26: Minus the ₹1.25 lakh §112A exemption = ₹1,75,000 taxable × 12.5% = ₹21,875, plus 4% Health & Education Cess of ₹875 = ₹22,750 total. No indexation applies to equity post-Budget-2024.
- 3UK — £20,000 share gain, higher-rate taxpayer, 2025/26: Minus the £3,000 Annual Exempt Amount = £17,000 taxable × 24% (higher-rate band) = £4,080. A basic-rate taxpayer would pay 18% on the part within their remaining band.
Rates change — and they change mid-year
The current rules, jurisdiction by jurisdiction
The rate you pay depends on where you are, how long you held the asset, and your income. Below are the current figures the engine applies. Rate selection stacks the gain on your ordinary income (US and UK) or applies a flat statutory rate (India §112A/§111A).
| Jurisdiction | Long-term | Short-term | Exemption / allowance | Effective date |
|---|---|---|---|---|
| United States | 0 / 15 / 20% + NIIT 3.8% | Ordinary income (10–37%) | None | TY-2026 |
| India (equity) | 12.5% §112A + 4% cess | 20% §111A + 4% cess | ₹1.25 lakh (LTCG) | 23 Jul 2024 |
| India (property) | 12.5% no-index OR 20% indexed* | Slab rate | None | 23 Jul 2024 |
| United Kingdom | 18% (basic) / 24% (higher) | Same (band-based, not holding) | £3,000 AEA | 30 Oct 2024 |
*India property bought before 23-Jul-2024: choose 12.5% without indexation OR 20% with indexation (grandfathering, take the lower). Bought after: 12.5%. US LT thresholds (single): 0% ≤ $49,450, 15% to $545,500, 20% above. MFJ 20% above $613,700.
The India 31-Jan-2018 FMV grandfathering
Loss harvesting and the ₹1.25 lakh-per-year exemption reset
Beyond a one-shot tax number, the planner tells you what to sell and when. It works in two ways: harvesting losses to offset gains in the correct order, and — in India — using the annual §112A exemption that resets every financial year to realise gains tax-free.
- 1Offset-sequencing — net losses against gains in the right order: Net short-term capital losses against short-term and long-term gains first, then long-term losses against long-term gains. Any unabsorbed loss carries forward — in India up to 8 years, provided you file by the ITR due date. Getting the order right minimises the bill.
- 2India ₹1.25 lakh exemption reset — realise tax-free, then re-buy: Because the ₹1.25 lakh §112A LTCG exemption resets every financial year, you can sell enough of a winning equity position each year to realise gains tax-free up to ₹1.25 lakh and immediately re-buy. Your cost basis resets upward at zero tax, compounding the exemption across years — so a future sale is taxed only on the gain above the new, higher basis.
- 3UK equivalent — use the £3,000 AEA before it is lost: The UK Annual Exempt Amount is use-it-or-lose-iteach tax year. The same realise-and-re-buy logic lets a UK investor crystallise up to £3,000 of gains tax-free annually, though the 30-day "bed and breakfasting" rule restricts immediate re-purchase of the same shares.
Cross-links
Frequently asked questions
Start with the gain: sale price minus your cost basis (purchase price plus allowable costs and improvements). The holding period (sale date minus purchase date) classifies the gain as short-term or long-term against each geo's threshold. Subtract any exemption or allowance to get the taxable gain — India gives a ₹1.25 lakh §112A exemption on equity LTCG, the UK gives a £3,000 Annual Exempt Amount, the US gives none. Then apply the rate, which is geo-, term-, and income-band aware: tax = taxable gain × rate (plus NIIT in the US, 4% cess in India). US long-term gains stack on top of your ordinary income to find the 0/15/20% band; UK gains stack on income to test basic-vs-higher rate; India §112A/§111A are flat.
For TY 2026, US long-term gains (held over one year) are taxed at 0% / 15% / 20% by taxable income with the gain stacked on top (single: 0% to $49,450, 15% to $545,500, 20% above). NIIT (§1411) adds 3.8% on the lesser of net investment income and MAGI over $200,000 (single) / $250,000 (MFJ) — top all-in 23.8%. Short-term gains are taxed as ordinary income. If those gains come from a vesting equity grant, see the RSU Tax Calculator.
From 23 July 2024, listed equity / equity MF (STT paid) held over 12 months are §112A LTCG at a flat 12.5% on gains over the ₹1.25 lakh annual exemption, plus 4% cess, no indexation. STCG (§111A, ≤12 months) is 20% + cess. A ₹3,00,000 equity LTCG → minus ₹1.25 lakh = ₹1,75,000 × 12.5% = ₹21,875 + ₹875 cess = ₹22,750. Units bought before 1 Feb 2018 get 31-Jan-2018 FMV grandfathering applied to cost first.
From 30 October 2024, UK CGT is 18% within your remaining basic-rate band and 24% above it, unified across property and shares, after the £3,000 Annual Exempt Amount. A £20,000 higher-rate share gain → minus £3,000 = £17,000 × 24% = £4,080. The rate depends on your income band, not holding period.
Tax-loss harvesting realises losing positions to offset realised gains, cutting your tax bill. The correct ordering is to net short-term capital losses against short-term and long-term gains first, then long-term losses against long-term gains, and carry any unabsorbed loss forward (in India, up to 8 years, filed by the ITR due date). In India there is a second, exemption-driven move: because the ₹1.25 lakh §112A LTCG exemption resets every financial year, you can sell enough of a winning equity position each year to realise gains tax-free up to ₹1.25 lakh and immediately re-buy — resetting your cost basis upward at zero tax and compounding the exemption across years. The planner in this tool shows how much you can realise tax-free this year and the offset order to follow.
Method, assumptions & references
Methodology: gain = sale price − cost basis; taxable gain = max(0, gain − exemption); tax = taxable gain × rate (geo-, term-, income-band aware) + NIIT (US) or 4% cess (India). US long-term gains stack on ordinary income for the 0/15/20% band; UK gains stack on income for 18% vs 24%; India §112A/§111A are flat. Effective dates: India 23-Jul-2024, UK 30-Oct-2024, US TY-2026 thresholds. Golden examples engine-exact and cross-validated: US $50k LT @ $120k single = $7,500 (no NIIT); India ₹3L equity LTCG = ₹22,750 (₹21,875 + ₹875 cess); UK £20k higher-rate = £4,080. Rates change — and change mid-year — so verify current figures before acting. Not tax advice.
How we calculate this
Reviewed by Reckonist Editorial · Last reviewed 21 June 2026. Figures follow the methods and sources set out in our editorial standards.
Capital gains rules differ by jurisdiction and change frequently — often mid-year (UK 30-Oct-2024, India 23-Jul-2024). Figures here are stamped to TY/FY 2025-26 and cited from the IRS, the Income-Tax Department, and GOV.UK. This is general information, not tax advice; rules change — verify your current rates, exemptions, and thresholds with a qualified CPA / CA / CTA before making a disposal decision.
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