Capital Gains Tax
Tax and finance · Reinvent NY glossary
Capital gains tax is imposed on profit from selling assets including real estate, stocks, and business interests. Long-term capital gains (assets held over 1 year) are taxed at preferential rates: 0% (income under $47,025), 15% (income $47,025-$518,900), or 20% (income over $518,900). Short-term gains (assets held 1 year or less) are taxed as ordinary income (up to 37%). For real estate, the Net Investment Income Tax (NIIT) adds 3.8% for high earners. Foreign sellers are also subject to FIRPTA withholding (15% of gross sale price).
Related Terms
Related Articles
- →All Cash vs Mortgage in NYC: How Foreign Buyers Decide
Cash closes faster and wins bids in NYC, but financing has quiet advantages for foreign buyers: estate tax exposure, liquidity, and yield.
- →NYC Apartment Renovation Rules: Permits, Boards, Approvals
What it takes to renovate a NYC condo or co-op: alteration agreements, board approval, DOB permits, landmark review, and honest timelines before work begins.
- →NYC Landlord Requirements: Deposits, Heat and Disclosures
The legal duties that come with renting out a NYC apartment: the deposit cap, heat season rules, required disclosures and filings.
- →NYC Eviction Process for Landlords: Steps and Timeline
How eviction works in New York City: why a lockout is illegal, the notices that start the case, the housing court steps, and the timelines to plan around.
Keep reading
Want the tax side checked before you sign?
Talk to us about it