2027 Capital Gains Brackets Rise, With the 0% Rate Reaching $51,050 for Single Filers
The IRS has raised the income cutoffs for 2027 long-term capital gains rates, but the rates stay at 0%, 15% and 20%, MarketWatch reported. The agency released the figures Thursday, Nov. 5, along with its 2027 income tax brackets and standard deduction.
Only the income ranges that trigger each rate changed.
2027 Capital Gains Thresholds by Filing Status
MarketWatch's table lists the maximum taxable income for each rate. That means income after deductions.
| Filing status | 0% rate up to | 15% rate up to | 20% rate |
|---|---|---|---|
| Single | $51,050 | $563,200 | Over $563,200 |
| Married filing jointly | $102,100 | $633,600 | Over $633,600 |
| Head of household | $68,350 | $598,400 | Over $598,400 |
Married couples filing separately have a 15% ceiling of $316,800, according to The Finance Buff, a personal finance site that tracks the figures.
How the Cutoffs Moved From 2026
The Finance Buff's side-by-side figures show the 2026 limits. Single filers see their 0% ceiling rise $1,600 from $49,450. For joint filers it rises $3,200 from $98,900, and for heads of household it rises $2,150 from $66,200.
Larger dollar amounts lift the 15% ceilings. Single filers gain $17,700, from $545,500. Heads of household gain $18,800, from $579,600, and joint filers gain $19,900, from $613,700.
The adjustments come from the IRS's annual inflation update, published as Revenue Procedure 2026-35, the Tax Foundation said. For that inflation, the IRS uses the chained consumer price index.
It is a version of the CPI that accounts for shoppers switching products when prices change.
Which Profits Qualify
Holding an asset for more than one year earns the lower long-term rates, MarketWatch reported. A profit on a sale within a year is a short-term gain, taxed like ordinary income.
Stock gains, qualified dividends, profits from selling bonds and profits from selling cryptocurrency can all qualify. Interest on bank products such as high-yield savings accounts and certificates of deposit does not. It counts as ordinary income.
Wages are taxed at 10% to 37%, MarketWatch noted. According to the Tax Foundation, the 37% rate applies above $661,375 of taxable income for single filers and above $793,650 for joint filers.
The 2027 standard deduction is $16,600 for single filers, $33,200 for married couples filing jointly and $24,925 for heads of household.
Capital Losses and the 3.8% Surtax
Capital losses offset capital gains. If losses exceed gains, MarketWatch said, investors can deduct up to $3,000 and carry any remaining loss into later years. That $3,000 limit is not indexed to inflation. It has not risen in decades.
The 3.8% net investment income tax is a separate levy on interest, dividends, long- and short-term gains, and rental and royalty income. It has applied since 2013, and its thresholds do not adjust for inflation.
Individuals can owe it once income exceeds $200,000, and married couples filing jointly once income exceeds $250,000. For married couples filing separately, The Finance Buff lists a $125,000 threshold.
Congress built the tax to hit the smaller of two amounts, either net investment income or the amount by which income exceeds the threshold. The Finance Buff gave the example of a joint filer with $300,000 of income, $10,000 of it from investments.
That filer owes the 3.8% on only $10,000, even though income exceeds the threshold by $50,000.
Just over 8 million returns paid the tax in 2023, totaling more than $39 billion, MarketWatch reported, citing the Bipartisan Policy Center.
When the tax began, more than 3 million returns paid $16.5 billion, according to a Congressional Research Service report cited by MarketWatch.