The Tax Brief real effective rates for 111+ countries — bi-weekly, free.
TAX GUIDE

Capital Gains Tax Hub 2026: Rates by Country & State

Daniel · CountryTaxCalc Updated June 2026
Run the calculator → Jump to FAQ
KEY INSIGHT
Capital gains tax rates vary from 0% (UAE, Singapore, New Zealand) to 35%+ in some European countries. In the US, long-term capital gains are taxed at 0%, 15%, or 20% federally depending on income, with an additional 3.8% Net Investment Income Tax for high earners. State CGT adds up to 13.3% in California. Use the guides below for your jurisdiction.
At a glance

Key Facts

US Long-Term vs Short-Term Capital Gains
In the US, assets held for more than one year qualify for preferential long-term capital gains rates (0%, 15%, or 20% federally, depending on income). Assets held for one year or less are taxed as ordinary income at marginal rates up to 37%. The 3.8% Net Investment Income Tax (NIIT) applies on investment income above $200,000 (single) or $250,000 (married filing jointly). State capital gains taxes apply on top of federal rates.
Countries with Zero Capital Gains Tax
Several significant economies have no capital gains tax on personal investments: UAE (0%), Singapore (0%), Hong Kong (0%), New Zealand (0% on most assets — some exceptions), Switzerland (0% for private investors — professional traders taxed differently), Belgium (0% for most private investments), Netherlands (no CGT on actual gains — a deemed return on wealth is taxed instead under Box 3).
UK Capital Gains Tax
UK CGT rates for 2024/25: 18% for basic-rate taxpayers and 24% for higher/additional-rate taxpayers on residential property; 10% and 20% on other assets. The annual CGT exemption was reduced to £3,000 from April 2024 (down from £12,300 in 2022/23). Business Asset Disposal Relief (formerly Entrepreneurs' Relief) reduces the rate to 10% on qualifying business disposals up to a lifetime limit of £1 million.
Step-Up in Basis on Inherited Assets
In the US, inherited assets receive a 'stepped-up' cost basis equal to the fair market value at the date of the deceased's death. This eliminates embedded capital gains tax on appreciation during the deceased's lifetime. The asset can be sold immediately after inheritance with no federal capital gains tax on pre-death gains. This makes inherited assets significantly more tax-efficient than gifted assets, which carry over the original cost basis.
Introduction

Capital gains tax — the tax on profit from selling investments, property, or assets — varies more dramatically across countries than almost any other tax. Some jurisdictions charge 0% on all capital gains; others apply marginal income tax rates to gains, effectively taxing them at 40–45% for high earners. The treatment of short-term vs long-term gains, the definition of what counts as a capital gain, and the availability of reliefs and exemptions all differ significantly.

This hub aggregates every capital gains tax guide on CountryTaxCalc, covering global country comparisons, US state-by-state rates, the US vs Europe comparison, and jurisdiction-specific guides for real estate and investment gains.

Section 01

Global Capital Gains Tax Comparisons

How different countries tax capital gains — from 0% jurisdictions to countries that apply full income tax rates on all gains:

Section 02

US State Capital Gains Tax

Capital gains in the US are also subject to state income tax in most states — significantly affecting the total rate for investors. No-income-tax states (Texas, Florida, Nevada, Washington*, Wyoming, Alaska, South Dakota, Tennessee, New Hampshire) charge 0% state CGT. California is the highest at 13.3% on all capital gains — and uniquely treats short and long-term gains the same.

Section 03

Specific Asset & Situation Guides

Capital gains rules for specific asset types and situations:

Section 04

Related Hubs

Capital gains tax connects with several other investment and asset-related tax topics:

💡

CountryTaxCalc.com is reader-supported. When you use our partner links, we may earn a commission at no cost to you. This helps us provide free tax calculators and comparison tools. Learn more about our affiliate partnerships

US Investment Tax Filing

TaxHub

★ 4.8 verified reviews  ·  3,758 reviews

US investors with capital gains from stocks, property, or crypto — TaxHub handles Schedule D, Form 8949, and state tax filings for investment income.

⚠ Not for simple single-state returns. Free filing is fine for straightforward W-2 situations.

File Your Investment Tax Return →
US Expat Tax Specialist

Greenback Expat Tax Services

★ 4.8 Trustpilot  ·  1,625 reviews

US citizens with foreign investments, property sales abroad, or capital gains from non-US assets face complex reporting obligations. Greenback's CPAs handle PFIC, foreign real estate gains, and cross-border CGT filings.

⚠ Not the cheapest option — best for complex situations and expats who want a dedicated CPA.

Get Cross-Border Capital Gains Help →

Interested in reaching this audience? Advertise on CountryTaxCalc →

FAQ

Frequently Asked Questions

What is the capital gains tax rate in the US in 2026?

US federal long-term capital gains rates for 2026 are 0% (income up to approximately $47,025 single / $94,050 married), 15% (income up to approximately $518,900 single / $583,750 married), and 20% above those thresholds. Short-term capital gains (assets held one year or less) are taxed as ordinary income at marginal rates up to 37%. The 3.8% Net Investment Income Tax (NIIT) applies to net investment income for taxpayers above $200,000 (single) or $250,000 (married filing jointly). State income tax adds on top of the federal rate — ranging from 0% (Texas, Florida, no-income-tax states) to 13.3% (California).

Do you pay capital gains tax when you sell your house?

In the US, the Section 121 exclusion exempts up to $250,000 of gain ($500,000 for married couples filing jointly) from federal capital gains tax when you sell your primary residence, provided you have owned and lived in the property for at least 2 of the past 5 years. Gain above the exclusion amount is subject to federal CGT at long-term rates. State tax may also apply. In the UK, no CGT is due on the sale of your main residence under Principal Private Residence (PPR) relief — but gain on second properties or buy-to-let is fully taxable at CGT rates.

Which countries have no capital gains tax?

Countries with no capital gains tax on personal investment gains include: UAE (0%), Singapore (0%), Hong Kong (0%), New Zealand (0% for most personal assets — exceptions apply), Switzerland (0% for private investors), Belgium (0% for most private investments). The full list with important caveats — including what triggers CGT in each jurisdiction, real estate exceptions, and professional trader treatment — is covered in the Capital Gains Tax by Country guide.

How is capital gains tax calculated?

Capital gains are calculated as: Sale Price minus Cost Basis (the original purchase price plus acquisition costs) equals the gain. If the asset was held for more than one year (in the US), the long-term CGT rate applies. If less than one year, the short-term rate applies. Certain adjustments reduce the cost basis (depreciation on rental property) or increase it (capital improvements on property). The resulting gain is then multiplied by the applicable CGT rate for your income level and jurisdiction.

Is capital gains tax the same as income tax?

No — in most countries, capital gains are taxed at different (usually lower) rates than ordinary income, particularly for long-held assets. In the US, long-term capital gains are taxed at preferential rates (0–20%) rather than ordinary income rates (up to 37%). In the UK, CGT rates (10–24%) are below income tax rates (20–45%). However, some countries — including Germany — tax capital gains at a flat rate regardless of holding period, and others (such as France on short-term gains) apply full income tax rates. In the US, short-term capital gains are taxed as ordinary income.
Disclaimer:Capital gains tax rates and rules change frequently — UK rates changed in October 2024 and again in April 2024; US thresholds are adjusted for inflation annually. All figures in the linked guides are sourced from official government tax authorities and reviewed at the date shown on each guide. This hub provides general educational information only — not tax or financial advice. For personal investment decisions involving significant capital gains, consult a qualified tax adviser.
Keep reading

Related Guides

GUIDE
Capital Gains Tax by Country: Global Comparison 2026
GUIDE
Capital Gains Tax by State 2026
GUIDE
Capital Gains Tax: USA vs Europe 2026
GUIDE
Selling Your Home Tax Guide 2026
GUIDE
Best States for Investment Income 2026
GUIDE
Puerto Rico Act 60 Tax Guide 2026
GUIDE
Cryptocurrency Tax Hub
GUIDE
Equity & Stock Options Tax Hub
GUIDE
Wealth, Inheritance & Estate Tax Hub
GUIDE
Best Countries for Tax Hub
From the brief
PT38.4%−9.6 vs. headline
CY17.8%incl. 60-day rule
AE 0.0%substance required
The Tax Brief · Subscribe free

More like this, every two weeks.

Verified rates, real after-tax figures, plain English. Free.

Bi-weekly. No spam. Unsubscribe in one click.