Long Term (assets held over 1 year) Capital Gains Tax Rates for 2019

Many times clients ask me what the capital gains rate will be for a transaction they are contemplating. It is not an easy answer. There are 5 different rates and the lower 3: 0%, 15% and 20% depend on the taxpayer's taxable income. For instance taxpayers filing a joint return  with taxable income under $78,750 pay at the 0% rate in 2019. The 25% rate applies when you sell depreciated property like rental property with unrecaptured section 1250 gain. The 28% long term capital gains rate applies to the sale of collectibles which include such assets as works of art, rugs, antiques, stamps, coins, metals like gold bullion, vintage cars, and alcoholic beverages. There is another sneaky add on Obamacare tax of 3.8% on capital gains if your adjusted gross income is above $250,000 (joint) and $200,000(single).