So, the use of we in the question, makes me assume that the filing status would be married filing jointly. The Long-term capital gains tax rates for the 2024 tax year are as follows:
| FILING STATUS |
0% RATE |
15% RATE |
20% RATE |
| Source: Internal Revenue Service |
| Single |
Up to $47,025 |
$47,026 – $518,900 |
Over $518,900 |
| Married filing jointly |
Up to $94,050 |
$94,051 – $583,750 |
Over $583,750 |
| Married filing separately |
Up to $47,025 |
$47,026 – $291,850 |
Over $291,850 |
| Head of household |
Up to $63,000 |
$63,001 – $551,350 |
Over $551,350 |
In addition, those capital gains may be subject to the Net Investment Tax, an additional levy of 3.8 percent if the taxpayer’s income is above certain amounts. The income thresholds depend on the filer’s status.
(individual, married filing jointly, etc.) and are not adjusted for inflation.
The IRS statutory income thresholds are as follows (Based upon Modified Adjusted Gross Income):
- Married filing jointly — $250,000
- Married filing separately — $125,000
- Single or head of household — $200,000
- Qualifying widow(er) — $250,000
So, what you should set aside depends upon the entirety of your tax return. Rather than setting aside I would suggest a third or fourth quarter estimated tax payment depending upon which quarter the sale takes place.
Thanks again for the question @leslieostojich
All the best,
Marc
Employee Tax Expert
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