Use the simple mode when you already know the capital gain. Use detailed mode when you want to calculate it from proceeds of disposition, adjusted cost base, and selling expenses. The result compares estimated tax before the taxable capital gain with estimated tax after adding it, so the gain can move through more than one federal or provincial bracket.
What the estimate covers
The estimator includes the 2026 federal and provincial or territorial marginal rate tables published by the Canada Revenue Agency . Quebec rates are sourced from Revenu Québec . The rate configuration is versioned for the tax year and records the date those sources were checked.
The calculation uses this sequence:
- Capital gain = proceeds of disposition − adjusted cost base − selling expenses.
- Taxable capital gain = capital gain × 50% inclusion rate.
- Estimated additional tax = tax on other income plus the taxable gain − tax on other income alone.
Worked estimate and bracket examples
Assume a $2,000 capital gain and a 50% inclusion rate: $1,000 is added to taxable income. For an Alberta resident with $70,000 of other taxable income, that $1,000 falls within the 20.5% federal bracket and 10% Alberta bracket. The estimator’s bracket-only increase is $205 + $100 = $305. This excludes the credits, surtaxes, and other adjustments described in the scope note.
A larger gain can cross a threshold. With $58,000 of other income and a $2,000 gain, the federal component is $523 × 14% plus $477 × 20.5% = $171.005, displayed as $171.01. Calculate the provincial component separately; its thresholds need not match the federal thresholds.
The examples below show the provincial or territorial component for each bracket. Every row starts $1,000 above that bracket’s lower threshold and adds the same $1,000 taxable gain, so it stays inside the bracket. Federal tax is additional. These are demonstrations of the configured marginal rates, not complete tax-return estimates; Quebec’s federal abatement and other excluded adjustments also require separate treatment.
Alberta: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 8.00% | $80.00 |
| $62,200 | $1,000 | 10.00% | $100.00 |
| $155,259 | $1,000 | 12.00% | $120.00 |
| $186,111 | $1,000 | 13.00% | $130.00 |
| $247,813 | $1,000 | 14.00% | $140.00 |
| $371,220 | $1,000 | 15.00% | $150.00 |
British Columbia: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 5.60% | $56.00 |
| $51,363 | $1,000 | 7.70% | $77.00 |
| $101,728 | $1,000 | 10.50% | $105.00 |
| $116,648 | $1,000 | 12.29% | $122.90 |
| $141,430 | $1,000 | 14.70% | $147.00 |
| $191,405 | $1,000 | 16.80% | $168.00 |
| $266,545 | $1,000 | 20.50% | $205.00 |
Manitoba: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 10.80% | $108.00 |
| $48,564 | $1,000 | 12.75% | $127.50 |
| $102,200 | $1,000 | 17.40% | $174.00 |
New Brunswick: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 9.40% | $94.00 |
| $53,333 | $1,000 | 14.00% | $140.00 |
| $105,666 | $1,000 | 16.00% | $160.00 |
| $194,861 | $1,000 | 19.50% | $195.00 |
Newfoundland and Labrador: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 8.70% | $87.00 |
| $45,678 | $1,000 | 14.50% | $145.00 |
| $90,354 | $1,000 | 15.80% | $158.00 |
| $160,528 | $1,000 | 17.80% | $178.00 |
| $224,340 | $1,000 | 19.80% | $198.00 |
| $286,319 | $1,000 | 20.80% | $208.00 |
| $571,638 | $1,000 | 21.30% | $213.00 |
| $1,142,275 | $1,000 | 21.80% | $218.00 |
Nova Scotia: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 8.79% | $87.90 |
| $31,995 | $1,000 | 14.95% | $149.50 |
| $62,991 | $1,000 | 16.67% | $166.70 |
| $98,417 | $1,000 | 17.50% | $175.00 |
| $158,124 | $1,000 | 21.00% | $210.00 |
Northwest Territories: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 5.90% | $59.00 |
| $54,003 | $1,000 | 8.60% | $86.00 |
| $107,009 | $1,000 | 12.20% | $122.00 |
| $173,346 | $1,000 | 14.05% | $140.50 |
Nunavut: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 4.00% | $40.00 |
| $56,801 | $1,000 | 7.00% | $70.00 |
| $112,602 | $1,000 | 9.00% | $90.00 |
| $182,439 | $1,000 | 11.50% | $115.00 |
Ontario: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 5.05% | $50.50 |
| $54,891 | $1,000 | 9.15% | $91.50 |
| $108,785 | $1,000 | 11.16% | $111.60 |
| $151,000 | $1,000 | 12.16% | $121.60 |
| $221,000 | $1,000 | 13.16% | $131.60 |
Prince Edward Island: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 9.50% | $95.00 |
| $34,928 | $1,000 | 13.47% | $134.70 |
| $66,820 | $1,000 | 16.60% | $166.00 |
| $107,890 | $1,000 | 17.62% | $176.20 |
| $143,520 | $1,000 | 19.00% | $190.00 |
| $201,000 | $1,000 | 20.00% | $200.00 |
Quebec: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 14.00% | $140.00 |
| $55,345 | $1,000 | 19.00% | $190.00 |
| $109,680 | $1,000 | 24.00% | $240.00 |
| $133,245 | $1,000 | 25.75% | $257.50 |
Saskatchewan: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 10.50% | $105.00 |
| $55,532 | $1,000 | 12.50% | $125.00 |
| $156,805 | $1,000 | 14.50% | $145.00 |
Yukon: provincial or territorial component
| Other taxable income | Taxable gain added | Bracket rate | Provincial/territorial increase |
|---|---|---|---|
| $1,000 | $1,000 | 6.40% | $64.00 |
| $59,523 | $1,000 | 9.00% | $90.00 |
| $118,045 | $1,000 | 10.90% | $109.00 |
| $182,440 | $1,000 | 12.80% | $128.00 |
| $501,000 | $1,000 | 15.00% | $150.00 |
Why ACB changes the result
The calculator cannot determine whether the adjusted cost base you enter is complete. Canadian investors may need to pool identical securities across taxable brokerages and account for transfers, commissions, DRIPs, return of capital, reinvested distributions, superficial-loss adjustments, and CAD conversion of U.S.-dollar trades .
For saved ACB calculations across brokerages, use myCostBase with a free account. If the gain came from a broker-reported disposition, the T5008 ACB reconciliation checker can compare Box 20 with your supported ACB.
Account scope and limitations
This tool is designed for individuals estimating tax on taxable investment gains. It does not calculate a complete tax return and does not cover corporations, trusts, principal residences, rental-property recapture, business dispositions, lifetime capital gains exemptions, cryptocurrency-specific treatment, capital-loss carryovers, or alternative minimum tax. To estimate the value of harvested losses, including carrybacks, use the tax-loss harvesting calculator .
TFSA investment gains are generally not reported as taxable capital gains. Capital gains realized inside an RRSP or RRIF are not reported as taxable capital gains when trades occur, while withdrawals are generally taxed as income. Select a taxable account before using the estimate.
Scope: This is an informational estimate based on the selected tax year, rate tables, and values entered. It is not tax, legal, or accounting advice, and it does not determine the final amount payable on a tax return.
Canadian capital gains tax estimator — common questions
What does this Canadian capital gains tax estimator calculate?
It estimates the additional federal and provincial tax attributable to a positive capital gain from a taxable investment account. It applies the 2026 50% capital-gains inclusion rate and progressive federal and provincial or territorial brackets to the information entered.
What inputs does the estimator use?
Choose your province or territory, enter taxable income before the gain, and either enter a known capital gain or calculate it from proceeds, adjusted cost base, and selling expenses.
Does this calculate my exact tax owing?
No. It is an estimate, not a complete tax return calculation. It excludes credits, surtaxes, capital-loss carryovers, alternative minimum tax, deductions, and other facts that can change a final return.
Does the calculator work for a TFSA or RRSP?
The estimator is for taxable or non-registered accounts. TFSA gains are generally not reported as taxable capital gains. Capital gains realized inside an RRSP or RRIF are not reported when trades occur; withdrawals are generally taxed as income.
Why does adjusted cost base matter to the estimate?
A capital gain is generally calculated from proceeds minus adjusted cost base and selling expenses. Missing transfers, ETF adjustments, DRIPs, foreign-exchange conversions, or cross-brokerage pooling can change the ACB and therefore the tax estimate.