Hi, I'm trying to estimate my quarterly taxes for 2018. It dawned upon me that I do not know if capital gains on the sale of stock is paid on the state level as well. I already figured it (15%) into my federal quarterly liabilities, but I did not know if it is for the state too. Thanks!
Edit: the state is New York, sorry!
Edit 2: found the answer after specifically googling NY State. It is taxed as regular income, thanks folks!
Is capital gains paid at the state level as well?
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fantasytensai
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Is capital gains paid at the state level as well?
Last edited by fantasytensai on Mon Apr 16, 2018 9:24 am, edited 2 times in total.
Re: Is capital gains paid at the state level as well?
The answer lies in the instructions for preparing your state income tax return.
In Maryland, with one minor exception, Capital Gains included in Federal AGI get carried over to the state return and are considered ordinary income for state income tax purposes.
In Maryland, with one minor exception, Capital Gains included in Federal AGI get carried over to the state return and are considered ordinary income for state income tax purposes.
When you discover that you are riding a dead horse, the best strategy is to dismount.
Re: Is capital gains paid at the state level as well?
It depends on your state. Many (most?) start with Federal AGI, which includes capital gains, and therefore tax capital gains at your full state tax rate.
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Chris K Jones
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Re: Is capital gains paid at the state level as well?
It depends on the state. In Georgia, it is.
Re: Is capital gains paid at the state level as well?
No, not in Nevada.
Re: Is capital gains paid at the state level as well?
Cap gains also taxed as ordinary income in Virginia. Check your state's tax code.fantasytensai wrote: ↑Mon Apr 16, 2018 9:15 amHi, I'm trying to estimate my quarterly taxes for 2018. It dawned upon me that I do not know if capital gains on the sale of stock is paid on the state level as well. I already figured it (15%) into my federal quarterly liabilities, but I did not know if it is for the state too. Thanks!
"When you ain't got nothing, you got nothing to lose"-Bob Dylan 1965. "When you think that you've lost everything, you find out you can always lose a little more"-Dylan 1997
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fantasytensai
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Re: Is capital gains paid at the state level as well?
State is New York, sorry!fantasytensai wrote: ↑Mon Apr 16, 2018 9:15 amHi, I'm trying to estimate my quarterly taxes for 2018. It dawned upon me that I do not know if capital gains on the sale of stock is paid on the state level as well. I already figured it (15%) into my federal quarterly liabilities, but I did not know if it is for the state too. Thanks!
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Peter Foley
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Re: Is capital gains paid at the state level as well?
Following up on earlier answers. Obviously some state do not have an income tax. Of those that do there are different starting points, two of the most common being Federal Adjusted Gross Income or Federal Taxable income. After those starting points states then apply their own rules.
Re: Is capital gains paid at the state level as well?
This is the answer. Or, someone who knows the NY tax law can say yes or no. People have already pointed out that many states start with AGI which includes capital gains. Whether or not CGs will get a preferential tax rate is another question. Often they do not.