Rental Property Sale Tax Calculator
Estimate federal tax due when selling a rental property, including long-term capital gains, unrecaptured Section 1250 gain (25%) and net investment income tax.
Your numbers
- Total gain
- $295,000
- Depreciation recapture tax
- $23,750
- Capital gains tax
- $30,000
- NIIT
- $0.00
- Net proceeds after tax
- $556,250
- Depreciation recapture$23,750
- Capital gains$30,000
How the rental property sale tax calculator works
Gain = sale price − selling costs − (purchase + improvements − depreciation). Depreciation taken is taxed up to 25%; remaining gain at long-term rates. NIIT of 3.8% may apply.
Example
Using the default inputs (Sale price: $650,000; Selling costs: $40,000; Purchase price: $380,000; Capital improvements: $30,000; Depreciation taken: $95,000; …), the calculator returns estimated federal tax of $53,750. Change any field above to see your own result and charts update instantly.
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Frequently asked questions
How can I defer the tax?
A Section 1031 like-kind exchange can defer capital gains and recapture if rules are followed.
Is depreciation recapture avoidable?
Only through exchange or holding until death for a stepped-up basis.
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Estimates are for educational purposes only and are not financial, tax or legal advice. Results depend on your inputs and simplified assumptions; tax figures reflect 2026 federal rules and may differ from your situation. See our disclaimer. © 2026 FinanzCalc.