Ontario capital gains tax calculator
Work out exactly what a sale will cost you in Ontario. Only half your gain is taxable — this shows the real bill at your income level, and what you keep.
Commissions, legal fees, transfer costs.
Determines the tax bracket your gain lands in.
Only half of a capital gain is taxable in Canada, so the effective rate on the gain is about half your marginal rate.
- Capital gain = proceeds − cost base − selling costs = $57,000
- Taxable capital gain = gain × 50% = $28,500
- That amount is added to your income and taxed at your marginal rate = $9,780
Estimate only. Excludes the principal residence exemption, the lifetime capital gains exemption on qualifying small business shares, capital losses carried forward, and gains sheltered inside registered accounts (TFSA, RRSP, FHSA).
A $100,000 gain in Ontario on a $90,000 income costs about $0 in tax — roughly 0.0% of the gain, because only half of it is taxable.
Tax on a $100,000 gain in Ontario
| Your other income | Tax on the gain | Effective rate | You keep |
|---|---|---|---|
| $60,000 | $0 | 0.0% | $100,000 |
| $90,000 | $0 | 0.0% | $100,000 |
| $150,000 | $0 | 0.0% | $100,000 |
Frequently asked questions
How much is capital gains tax in Ontario?
In Ontario, a $100,000 capital gain for someone earning $90,000 results in roughly $0 of tax — an effective rate of about 0.0% on the gain. Only half the gain is taxable, which is why the effective rate is roughly half your marginal rate.
What is the capital gains inclusion rate in Ontario?
The 50% inclusion rate is federal and applies identically in every province and territory. What differs by province is the marginal tax rate applied to that taxable half.
Can I avoid capital gains tax on a second property?
Only one property per family can be designated as a principal residence per year, so gains on a cottage or rental are generally taxable. You can reduce the bill by adding capital improvements to your cost base, deducting selling costs, and applying any capital losses.
Other provinces
Researching and writing about Canadian taxes and investing since 2026.
“Ontario Capital Gains Tax Calculator — VaultNerd” — VaultNerd, https://www.vaultnerd.com/tools/capital-gains-tax-calculator/ontario, updated August 2026.
- CRA — capital gains and the 50% inclusion rate
- CRA Ontario marginal tax rates (2025)