Calculate your federal and Pennsylvania capital gains tax liability
Calculate Your
Pennsylvania Capital Gains Tax
Pennsylvania taxes capital gains at a flat rate of 3.07%. The state does not allow for the carryover of capital losses.
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Pennsylvania Capital Gains Tax Highlights
Enter Your Investment Details
Calculate your capital gains tax for Pennsylvania
📊 Enter your annual taxable income before including this capital gain. This determines your capital gains tax bracket.
📊 Choose your investment holding period
Calculator optimized for Pennsylvania tax rates
Tax Calculation Results
How Pennsylvania Taxes Capital Gains
Pennsylvania taxes capital gains at a flat rate of 3.07%. The state does not allow for the carryover of capital losses.
2025 Tax Brackets
Pennsylvania Tax Details
Tax Rate Structure
Pennsylvania applies a flat rate to all capital gains regardless of income level.
Key Requirements
Pennsylvania Tax Strategies
- • Consider timing of asset sales for tax efficiency
- • Coordinate with federal capital gains strategies
- • Review loss harvesting opportunities
• Consult with Pennsylvania tax professional for complex situations
Related Tax Services
Real Estate in Pennsylvania
Real estate capital gains in Pennsylvania are subject to both federal and state tax considerations:
Pennsylvania Real Estate Tax Rate
Real estate capital gains in Pennsylvania are taxed at a flat rate up to 3.07%.
Primary Residence
Federal Rules
Pennsylvania State Rules
State tax applies to gain above federal exclusion
Must file state return if gain exceeds exclusion
Additional Requirements:
- • Follows federal IRC Section 121.
Investment Property
Tax Deferral Strategies
1031 Like-Kind Exchanges
Defer federal taxes on investment property exchanges
Transfer Costs
Transfer Tax
Local Variations:
- • Municipalities and school districts add their own tax, typically 1% to 3.5%. Reading has a 4.5% local rate.
Available Exemptions:
- • Certain family transfers
- • Transfers to secure a debt.
Recording Fees
Additional Fees:
- • Fees are set at the county level and can be high.
Special Deductions & Notes:
- • Standard federal depreciation rules apply.
Investment & Tax Services
Property Tax Exemptions
Homestead
$0K
Maximum exemption
Pennsylvania Real Estate Specifics
• Pennsylvania has one of the highest combined Realty Transfer Taxes in the U.S., with a 1% state tax plus a significant local tax.
• The state's flat 3.07% income tax rate is low, but the disallowance of capital loss carryovers is a major drawback for investors.
• Property tax relief is provided through a homestead exclusion that varies by local school district.
Real Estate & Investment Services
Pennsylvania Filing Requirements
Due Dates
Required Forms
- • Form PA-40
- • Capital gains schedule
- • Federal Form 8949 & Schedule D
Payment Options
- • Online payment portal
- • Electronic funds transfer
- • Check or money order
Tax Professional Services
Compare Pennsylvania to Other States
Tax Calculation Results
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