How to Calculate Capital Gains Tax in Canada (2026)
Complete guide to calculating capital gains tax in Canada — 50% inclusion rate, adjusted cost base (ACB), selling expenses, and provincial tax rates. Includes real estate and stock examples.
Estimated time: 5–10 minutes
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Select your province
Your province of residence determines the combined federal and provincial tax rate applied to your taxable capital gain.
Enter your annual income (before the gain)
Enter your expected total income for the year before adding the capital gain. This is used to determine your marginal tax bracket when the taxable gain is added.
Enter proceeds of disposition
The total amount you received (or will receive) from selling the asset—sale price before deducting commissions or fees.
Enter adjusted cost base (ACB)
The total cost of acquiring the asset, including purchase price, commissions, and eligible improvements. For stocks, use the average cost if you bought at different times.
Enter outlays and expenses
Costs directly related to the sale, such as real estate commission, legal fees, or broker fees. These reduce your capital gain.
Read your results
You'll see total capital gain (or loss), taxable portion (50% in Canada), estimated tax owed, effective tax rate on the gain, and net after-tax profit. Use the breakdown table to verify the math.
Verify with a tax professional
This calculator is an estimate. Capital gains rules can vary (e.g. principal residence exemption, different inclusion rates). Always confirm with a tax advisor or the CRA.