@CourtneyDee that is not how it works.
you are subject to capital gains if the SUM of your ordinary income PLUS your capital gains exceeds $48,350.
In your case your taxable income is $50,000 *.85 = $42,500 + $500,000 less the standard deduction of $17,000 or $527,500. The tax would be
The ordinary income tax on $42, 500 (less $17, 000) would be $2,822.
The capital gains tax on $500,000 would be
0% tax bracket: $0 on the first $20,850
15% tax bracket on the remaining $479,150 : $71,873.
The Net Investment Income Tax would be $342,500 * 3.8% or $13,015.
So the total tax would be $87,710. Also, your 2027 Medicare premiums would be subject to IRMAA. (Figure around for $7,000 for that one year and that one year only).
If there was just the social security income of $50,000 and nothing else, there would no federal income tax.
