Provincial Tax: Understand how federal and provincial tax rates stack together with our Canadian Provincial Tax Guide.
This calculator helps you calculate capital gains tax in New Brunswick on the sale of property and stocks using the 50% capital gains inclusion rate (the proposed increase to two-thirds was cancelled in March 2025).
What is capital gains tax?
Capital gains tax is a fee paid on the increase in value of investments or assets from their original purchase price. When sold for more than the purchase price, this results in a capital gain, which is taxable. Capital gains can be “realized” when sold, or “unrealized” when value increases but the asset isn’t sold yet. While unrealized gains aren’t taxed until sold, it’s essential to consult a tax professional for personalized advice due to varying financial situations.
What is a capital gains loss?
A capital loss occurs when you sell an investment or asset for less than its original purchase price. This loss is the difference between the purchase price and the lower sale price. Similar to capital gains, capital losses can be “realized” when the sale occurs, or “unrealized” when the asset’s value decreases but hasn’t been sold. While unrealized losses can indicate a drop in value, they aren’t counted for tax purposes until the asset is sold. Realized capital losses can offset capital gains and reduce taxable income. As with all financial matters, consulting a tax professional is advisable to understand the implications for your specific situation.
Capital gains inclusion rate in Canada
The inclusion rate is the share of a capital gain that is added to your taxable income. It is 50% (1/2) for all capital gains, with no $250,000 threshold.
Budget 2024 proposed raising the inclusion rate from one-half to two-thirds on capital gains above $250,000 a year for individuals, and on all capital gains of corporations and trusts, from June 25, 2024. The government deferred the change to January 1, 2026 and then cancelled it on March 21, 2025, so the two-thirds rate never took effect.
What is a capital gain in Canada?
A capital gain occurs in Canada when you sell capital property for more than the adjusted cost base — if you were to sell the capital property for less than the adjusted cost base (ABC) you would have a capital loss.
Adjusted Cost Base (ABC): The initial cost of the capital property plus any other costs asociated with purchasing or making improvements the capital property, such as commissions, accounting and legal fees or improvements.
How to calculate tax on capital gains?
The formula to calculate tax on captail gains includes calculating the capital gain and multiplying the capital gain by the inclusion rate and tax rate.
Proceeds of disposition less Adjusted cost base (ACB) plus Expenses equals Captial gain / loss
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