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These calculations show the approximate capital gain taxes deferred by performing an IRC Section 1031 exchange with Asset Preservation, Inc. Please enter your figures in the fields provided (enter your numbers with no commas or dollar signs, for example: 300000) and click on the "Calculate" button in each area to perform the calculations. |
*The Federal capital gain tax rate is generally 15% or 20% depending upon taxable income. Single taxpayers with over $425,000 in taxable income and taxpayers filing as married filing jointly with over $479,000 in taxable income pay the higher 20% capital gain tax rate.
**The 3.8% NIIT surtax only applies to “net investment income” as defined in IRC §1411.
| Single Taxpayer | Married Filing Jointly | Capital Gain Tax Rate | Section 1411 NIIT Surtax | Combined Tax Rate |
|---|---|---|---|---|
| $0 – $40,000 | $0 – $80,800 | 0% | 0% | 0% |
| $40,401 – $200,000 | $80,801 – $250,000 | 15% | 0% | 15% |
| $200,001 – $445,850 | $250,001 – $501,600 | 15% | 3.8% | 18.8% |
| $445,851+ | $501,601+ | 20% | 3.8% | 23.8% |
The capital gain tax formula provided is to help you determine an approximate gain and amounts that may be deferred under Internal Revenue Code §1031. Asset Preservation, Inc. (API), its officers or employees are not authorized or permitted under applicable laws to provide tax or legal advice to any client or prospective client of API. The tax-related information contained herein or in any other communication that you may have with a representative of API should not be construed as tax or legal advice specific to your situation and should not be relied upon in making any business, legal or tax-related decision. A proper evaluation of the benefits and risks associated with a particular transaction or tax return position often requires advice from a competent tax and/or legal advisor familiar with your specific transaction, objectives and the relevant facts. We strongly urge you to involve your tax and/or legal advisor (or to seek such advice) in any significant real estate or business-related transaction.