Swift Accounting & Business Solutions Ltd.
2440 Kensington Rd NW, Calgary, AB T2N 3S1
(403) 999-2295 · mailbox@swiftltd.ca
·
Capital Gains Tax Calculator (2026)
Enter your sale proceeds, cost base and other income to estimate the tax on a capital gain in any province or territory. Results update as you type.
Enter your sale proceeds and adjusted cost base to see the tax.
Estimated tax on this gain
A capital loss can be used against capital gains in the same year. It can also be carried back up to three years or carried forward with no time limit.
Quebec tax is an approximation. Revenu Quebec's own forms decide the final amount.
Estimate based on 2026 rules. Not tax advice.
How it's calculated
- The gain is your sale proceeds minus your adjusted cost base and selling costs.
- Only 50% of the gain is taxable. The tax is your total tax with the gain minus your total tax without it, so brackets and credits are applied the way a T1 return applies them.
- Qualified small business shares and farm or fishing property can use the lifetime capital gains exemption. Tick the box and enter what you have left.
- The principal residence exemption is not applied. A home that was your principal residence all the years you owned it is usually exempt.
- Alternative minimum tax is not calculated. A large gain can trigger it, and the calculator warns you when it might.
Frequently asked questions
What is the capital gains inclusion rate in Canada?
Half of a capital gain is taxable. That is the rate for 2025 and 2026. A proposed increase announced in 2024 was cancelled in March 2025 and never became law.
How is capital gains tax calculated?
Subtract your adjusted cost base and selling costs from the sale proceeds. Add half of the gain to your other income and tax it at your federal and provincial rates. This calculator compares your tax with and without the gain.
What happens if I sell at a loss?
A capital loss cancels capital gains. Only half of the loss counts. Unused losses can be carried back up to three years or carried forward with no time limit.
Does the lifetime capital gains exemption apply?
It can apply to qualified small business corporation shares and qualified farm or fishing property. The limit is $1,275,000 for 2026 and $1,250,000 for 2025, less any amount you have already used.
Is the sale of my home taxable?
Usually not. A home that was your principal residence for every year you owned it is generally exempt, though the sale is still reported. This calculator does not apply that exemption, so use it for other property.
Talk to a Swift accountant
Selling property, shares or a business? We can look at timing, exemptions and structure before you sign.