Profitnet
Crypto tax-loss harvester
This checker estimates federal income tax for tax year 2026 if you realize losses on investments you already hold. It covers single filers and married filing jointly. It is an educational estimate, not tax or legal advice.
How the estimate is built
Ordinary tax uses the 2026 standard deduction and the 2026 rate brackets published by the IRS. For single filers the standard deduction is $16,100. For married couples filing jointly it is $32,200. The single brackets run 10% through $12,400, 12% through $50,400, 22% through $105,700, 24% through $201,775, 32% through $256,225, 35% through $640,600, and 37% above that. Joint brackets are twice the 10% and 12% thresholds at the bottom, then $211,400, $403,550, $512,450, and $768,700. Those dollar amounts are the tops of each bracket. The IRS newsroom states them as the incomes the next rate applies above.
Long-term capital gains are stacked on top of taxable ordinary income. Revenue Procedure 2025-32 sets the 2026 maximum zero-rate amount and the maximum 15% amount. For single filers those amounts are $49,450 and $545,500. For married filing jointly they are $98,900 and $613,700. Gain above the 15% amount is taxed at 20% in this checker. Head of household and married filing separately are not options here.
A harvestable loss is the amount by which cost exceeds the current price, times the number of units. Losses reduce long-term gains first. If the loss is larger than the gains, the checker applies up to $3,000 against ordinary income. IRS Tax Topic 409 describes that $3,000 limit, and a $1,500 limit for married filing separately. This checker does not include the separate limit.
The checker does not apply the wash-sale rule, the net investment income tax, state tax, or the crypto-specific reporting forms. Selling a security at a loss and buying that same security again inside 30 days can disallow the loss under IRS wash-sale rules. This page does not recommend buying the asset back.
Worked example
The numbers in the form when the page loads are this example. A single filer has $85,000 of ordinary income and no long-term gains already booked. One holding is 0.5 units bought at $68,000 and now priced at $42,000. The unrealized loss is 0.5 times $26,000, or $13,000.
Taxable ordinary income before any harvest is $85,000 minus the $16,100 standard deduction, or $68,900. Tax on that income is 10% of $12,400 ($1,240), 12% of the next $38,000 ($4,560), and 22% of the remaining $18,500 ($4,070). The bill is $9,870.
The $13,000 loss is larger than the $0 of gains, so $3,000 reduces ordinary income and the rest is unused in this estimate. Taxable income becomes $65,900. The 22% slice shrinks to $15,500, or $3,410, and the bill becomes $9,210. The difference is $660, which is $3,000 times the 22% rate still in force on that slice.
2026 figures used here
| Item | Single | Married filing jointly |
|---|---|---|
| Standard deduction | $16,100 | $32,200 |
| Ordinary 10% through | $12,400 | $24,800 |
| 12% through | $50,400 | $100,800 |
| 22% through | $105,700 | $211,400 |
| 24% through | $201,775 | $403,550 |
| 32% through | $256,225 | $512,450 |
| 35% through | $640,600 | $768,700 |
| Long-term 0% amount | $49,450 | $98,900 |
| Long-term 15% amount | $545,500 | $613,700 |
Questions
What tax year does this checker use?
Tax year 2026. Ordinary brackets and the standard deduction follow the IRS newsroom figures. Long-term capital gain thresholds follow Revenue Procedure 2025-32.
How does a loss change the estimate?
The checker subtracts harvestable losses from realized long-term gains first. If losses are larger, it subtracts up to $3,000 from ordinary income, which is the limit in IRS Tax Topic 409 for filers other than married filing separately.
Does the checker apply wash-sale rules?
No. It estimates the tax change from realizing a loss. Selling a security and buying it again within 30 days can disallow the loss. This page does not tell you to buy the asset back.
Sources
- IRS newsroom, tax year 2026 inflation adjustments. Standard deduction and ordinary rate thresholds.
- Revenue Procedure 2025-32. Long-term capital gain rate amounts for 2026.
- IRS Tax Topic 409. The $3,000 capital-loss limit.
Last updated .
Cite or link to this page
Link to https://testedprofit.com/Crypto%20Tax-Loss%20Harvester/. More calculators are on the tools page.