Canada Capital Gains Tax Calculator 2025
Estimate taxable capital gains and resulting income tax impact.
Introduction
🎯 What
Calculates tax on profit from selling assets like real estate, stocks, or crypto. Applies the 2025 inclusion rules (50% taxable for individuals).
👥 Who
For individuals, investors, landlords, and small business owners reporting capital gains in Canada.
💡 Why
Estimate 2025 tax liability accurately. Capital gains are added to your income—understand the marginal tax impact.
💼 Asset Details
Applies only to your primary home.
📊 Tax Information
💵 Tax Summary
Enter transaction details
Detailed Calculation Breakdown
Capital Gains Inclusion Rules (2025)
Individuals
50% Inclusion Rate: Only half of your net capital gain is added to your taxable income. The other half is tax-free.
*Note: Proposed changes for >$250k gains may apply.
Corporations & Trusts
66.67% Inclusion Rate: Two-thirds of capital gains are taxable for corporations and trusts.
Allowances & Deductions
- Principal Residence Exemption: Generally, you don't pay tax on the sale of your primary home.
- Capital Losses: Can offset capital gains. Unused losses can be carried back 3 years or forward indefinitely.
- Selling Expenses: Realtor fees, legal costs, and advertising reduce your net gain.
- Capital Improvements: Renovations that improve the property value add to your Adjusted Cost Base (ACB), reducing gain.
Tax Slabs Explanation
Capital gains are not taxed separately. The taxable portion (50% or 66.67%) is added to your other income.
How it works:
- Calculate Net Gain (Sale - Cost - Expenses).
- Multiply by Inclusion Rate (e.g., $10,000 × 50% = $5,000).
- Add $5,000 to your other income (Salary, etc.).
- Calculate tax on total income using progressive brackets.
Examples
Example 1: Stocks (Individual)
Buy: $20,000 | Sell: $40,000
Net Gain: $20,000
Taxable Gain (50%): $10,000 (Added to income)
Example 2: Rental Property
Gain: $100,000
Taxable Gain (50%): $50,000
Taxed at your marginal rate.
Frequently Asked Questions
Q: Are capital gains taxed at a flat rate?
A: No, they are added to income after inclusion and taxed at progressive rates.
Q: Is principal residence taxable?
A: No, if you qualify for the exemption.
Q: Can losses reduce salary income?
A: No, capital losses can only offset capital gains.
Q: Does this include AMT?
A: No, Alternative Minimum Tax is not calculated here.
Disclaimer: This calculator is for informational and Google AdSense content use only. Rates and rules are based on standard 2025 assumptions. Not legal, tax, or financial advice. Always confirm with CRA or a licensed tax professional.