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Selling Stock: Are There Tax Penalties on Capital Gains?

Calculate the capital gains taxes you may need to pay or the tax advantages that may help if you sell stocks at a loss.

By Adam Levy – Updated Mar 15, 2025 at 1:17PM

Key Points

  • Calculate stock sale profits by subtracting the cost basis from total proceeds.
  • Tax rates for profits depend on the holding period and total annual income.
  • Use tax-advantaged accounts to invest and avoid capital gains taxes on stocks.
Key findings are powered by ChatGPT and based solely off the content from this article. Findings are reviewed by our editorial team. The author and editors take ultimate responsibility for the content.

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