Capital-Gains Rates for 2027: Where Your Income Puts You

Investors who sell stocks, funds or property at a profit next year will face the same three-tier federal structure for long-term gains, but the income ceilings move up with inflation. The rate depends on your taxable income, meaning income after deductions, not on the size of the gain itself. Assets held for a year or less are taxed as ordinary income instead.

Projections from Thomson Reuters Checkpoint, which are estimates rather than official IRS figures, put the 0% ceiling for 2027 at $51,050 for single filers and $102,100 for married couples filing jointly, up from $49,450 and $98,900 in 2026. Heads of household would get a 0% ceiling of $68,350, up from $66,200. Filers whose taxable income stays under those lines owe no federal tax on long-term gains.

The 15% rate covers the next band. For 2027, that band tops out at $563,200 for single filers, $633,600 for joint filers and $598,400 for heads of household, compared with $545,500, $613,700 and $579,600 this year. Income above those levels falls into the 20% bracket. Married couples filing separately would see a 15% ceiling of $316,800.

For most people the change is modest, since the brackets are indexed and the gap between years is only a few percent. The bigger lever is timing. Someone whose income is about to drop, such as during a career break or after retirement, may come out ahead by realizing gains in that lower-income year. Investors sitting near a threshold may want to spread sales across two tax years rather than take one large gain.

Higher earners should also remember the 3.8% net investment income tax, which can stack on top of these rates once modified adjusted gross income passes fixed thresholds that are not inflation-adjusted. Collectibles and certain real estate gains carry their own maximum rates. Before making large sales, check the official IRS tables once they are final and confirm the numbers with a tax professional.