Anonymous
Not applicable

Investors & landlords

It's complicated since the taxes depend on whether the taxpayer is filing as single or joint.  as an approximation, if a single taxpayer who doesn't itemize has AGI of $400K ordinary and $100K long tern gains the tax  on the capital gains would be about $48K tax at 15% and $52K tax at 20% for a total of about $17,700 the tax on the balance of the income would be about $110,900 for a total of about $128,600,

 

 

however, if a joint return the whole $100K of capital gains gets taxed at 15% ($15k) with the tax on the balance of the income being about $82,800 for a total of $97,800.   for purposes of this illustration I used 2019 rates.