United States (Federal)
Canada (Federal)
United Kingdom
Australia
Your Estimated Capital Gains Tax
—
Understanding Crypto Capital Gains Tax
When you sell, trade, or even use cryptocurrency for purchases, you may trigger a taxable event.
The profit you make from the increase in value of your cryptocurrency is considered a capital gain.
This gain is subject to capital gains tax. The tax rate depends on various factors, including
your total income, the holding period of the asset (short-term vs. long-term), and your tax
jurisdiction.
How This Calculator Works:
This calculator estimates your capital gains tax liability based on the purchase and sale
details of your cryptocurrency. It calculates the capital gain (or loss) and then applies
a simplified tax rate based on your chosen jurisdiction and whether the gain is short-term
or long-term.
Key Concepts:
Cost Basis: The original value of the asset when you acquired it,
including any associated transaction fees. In this calculator, it's the total
amount spent to purchase the coins (Purchase Price per Coin * Number of Coins Purchased).
Sale Proceeds: The total amount received when you sell the asset.
In this calculator, it's the total amount from selling the coins (Sale Price per Coin * Number of Coins Sold).
Capital Gain/Loss: Calculated as Sale Proceeds – Cost Basis.
If positive, it's a gain; if negative, it's a loss.
Holding Period: The duration you held the cryptocurrency.
Short-Term Capital Gain: Typically held for one year or less.
Taxed at your ordinary income tax rate.
Long-Term Capital Gain: Typically held for more than one year.
Taxed at preferential lower rates (e.g., 0%, 15%, 20% in the US, depending on income).
Tax Jurisdiction: Tax laws vary significantly by country and even by region within countries.
This calculator uses simplified, general rates for common jurisdictions. For precise figures, consult a tax professional.
Simplified Tax Rates Used (Illustrative):
United States (Federal):
Short-Term: Ordinary income tax rates (e.g., 10% to 37%). The calculator uses a placeholder of 24%.
Long-Term: Preferential rates (e.g., 0%, 15%, 20%). The calculator uses a placeholder of 15%.
Canada (Federal): 50% of the capital gain is added to your taxable income. The calculator uses a placeholder marginal tax rate of 20.5% on the taxable portion.
United Kingdom: Rates depend on your income tax band. Typically 10% or 20% for long-term gains and 20% or 40% for short-term gains (for higher/additional rate taxpayers). The calculator uses a placeholder of 20%.
Australia: Capital gains are typically added to your income and taxed at your marginal income tax rate. The calculator uses a placeholder marginal tax rate of 32.5%.
Disclaimer: This calculator provides an *estimation* only. Tax laws are complex and can change.
Tax implications depend on your individual circumstances, including your overall income, other investments,
and specific deductions. Always consult with a qualified tax professional or refer to your
country's official tax guidelines for accurate advice. This calculator does not account for
state/provincial taxes, trading fees, or specific accounting methods like FIFO (First-In, First-Out)
or LIFO (Last-In, First-Out), which can affect your cost basis.
function calculateCapitalGainsTax() {
var purchasePrice = parseFloat(document.getElementById("purchasePrice").value);
var numberOfCoins = parseFloat(document.getElementById("numberOfCoins").value);
var purchaseDate = document.getElementById("purchaseDate").value;
var salePrice = parseFloat(document.getElementById("salePrice").value);
var numberOfCoinsSold = parseFloat(document.getElementById("numberOfCoinsSold").value);
var saleDate = document.getElementById("saleDate").value;
var taxJurisdiction = document.getElementById("taxJurisdiction").value;
var resultDisplay = document.getElementById("taxResultDisplay");
resultDisplay.textContent = "–"; // Reset result
// — Input Validation —
if (isNaN(purchasePrice) || purchasePrice <= 0 ||
isNaN(numberOfCoins) || numberOfCoins <= 0 ||
!purchaseDate ||
isNaN(salePrice) || salePrice <= 0 ||
isNaN(numberOfCoinsSold) || numberOfCoinsSold <= 0 ||
!saleDate) {
resultDisplay.textContent = "Please fill in all fields with valid positive numbers.";
return;
}
// — Calculations —
var costBasis = purchasePrice * numberOfCoins;
var saleProceeds = salePrice * numberOfCoinsSold;
var capitalGain = saleProceeds – costBasis;
var holdingPeriodDays = new Date(saleDate) – new Date(purchaseDate);
var holdingPeriodYears = holdingPeriodDays / (1000 * 60 * 60 * 24 * 365.25); // Account for leap years
var isShortTerm = holdingPeriodYears = 0 ? "Capital Gain" : "Capital Loss";
// — Determine Tax Rate based on Jurisdiction and Holding Period —
// Note: These are simplified illustrative rates. Actual rates vary widely.
if (taxJurisdiction === "us") {
if (isShortTerm) {
// US Short-Term: taxed at ordinary income rates. Using a placeholder 24%.
taxRate = 0.24;
gainOrLossText = "Short-Term " + gainOrLossText;
} else {
// US Long-Term: taxed at preferential rates (0%, 15%, 20%). Using a placeholder 15%.
taxRate = 0.15;
gainOrLossText = "Long-Term " + gainOrLossText;
}
} else if (taxJurisdiction === "ca") {
// Canada: 50% of capital gain is taxable. Using a placeholder 20.5% marginal rate.
var taxablePortion = capitalGain * 0.50;
taxRate = 0.205; // Placeholder for marginal tax rate
gainOrLossText = "Capital Gain (Canada)";
capitalGain = taxablePortion; // For display, show the taxable amount
} else if (taxJurisdiction === "uk") {
// UK: Rates depend on income bracket and holding period. Using a placeholder 20%.
taxRate = 0.20;
gainOrLossText = "Capital Gain (UK)";
} else if (taxJurisdiction === "au") {
// Australia: Capital gains are taxed at marginal income rates. Using a placeholder 32.5%.
taxRate = 0.325;
gainOrLossText = "Capital Gain (Australia)";
}
if (capitalGain > 0) {
estimatedTax = capitalGain * taxRate;
} else {
estimatedTax = 0; // No tax on capital losses for estimation purposes
gainOrLossText += " – No Tax Liability Estimated";
}
// — Display Results —
var resultText = gainOrLossText + ": $" + capitalGain.toFixed(2) + "";
resultText += "Estimated Tax: $" + estimatedTax.toFixed(2);
resultDisplay.innerHTML = resultText;
}