Canada Capital Gains Tax Calculator 2025

Easily calculate your short-term and long-term capital gains tax. Use this calculator to estimate taxes on assets, including stocks, crypto, real estate, and more.

How to Calculate Capital Gains Tax in Canada (2024)

A comprehensive guide to calculating capital gains tax in canada. Follow these steps to estimate your tax obligations accurately.

Step-by-Step Instructions for Canada

In Canada, only 50% of the capital gain is taxable. Follow these steps:

Step 1: Gather Information

  • Purchase Price: The amount you paid for the asset.
  • Sale Price: The amount you received upon sale.
  • Other Income: Your total income for the year.

Step 2: Enter Values into the Calculator

  • Enter the purchase price and sale price into the respective fields.
  • Input your other income to determine the applicable tax bracket.

Example Calculation

Suppose:

  • Purchase Price: $1,000
  • Sale Price: $2,000
  • Other Income: $50,000

Using the calculator:

  • Enter Purchase Price = $1,000 and Sale Price = $2,000. This gives a Capital Gain of $1,000.
  • Taxable Capital Gain = $1,000 × 50% = $500.
  • Based on your tax bracket, the calculator will show the tax due on $500.

Frequently Asked Questions (FAQs)

Find answers to common questions about calculating capital gains tax in canada.

What is a capital gain?

A capital gain occurs when you sell an asset for more than you paid for it. The gain is the difference between the purchase price and the sale price.

What portion of a capital gain is taxable in Canada?

In Canada, 50% of the capital gain is taxable. This portion is called the "taxable capital gain" and is added to your income to determine your total tax liability.

Does the calculator support short-term and long-term gains?

Yes, the calculator distinguishes between short-term and long-term gains. Long-term gains benefit from the 50% inclusion rate.

Can I calculate taxes for real estate transactions?

Yes, the calculator can be used for real estate capital gains. Enter the relevant purchase and sale prices for accurate results.