Tax to Pay Cashing Out Stock Market Ontario Calculator

When you sell your stock investments in Ontario, you may owe capital gains tax on the profit you make. This calculator helps you estimate how much tax you'll need to pay when cashing out your stock market investments in Ontario.

How to Use This Calculator

To calculate your Ontario capital gains tax:

Enter the total amount you received from selling your stocks
Enter the total cost basis of your investments (what you originally paid)
Select your Ontario tax bracket
Click "Calculate" to see your estimated tax

The calculator will show you the capital gain, the taxable amount, and the estimated tax you'll owe.

Formula Used

Capital Gain = Sale Amount - Cost Basis

Taxable Amount = Capital Gain

Capital Gains Tax = Taxable Amount × Tax Rate

This calculator uses the Ontario capital gains tax rates for 2023. The tax rate depends on your Ontario tax bracket.

Worked Example

Let's say you sold $10,000 worth of stocks in Ontario, and your cost basis was $7,000. You're in the 5.05% Ontario tax bracket.

Capital Gain = $10,000 - $7,000 = $3,000

Taxable Amount = $3,000

Capital Gains Tax = $3,000 × 5.05% = $151.50

In this example, you would owe $151.50 in capital gains tax.

Types of Capital Gains

In Ontario, capital gains are divided into two main types:

Short-term capital gains: From assets held for 1 year or less
Long-term capital gains: From assets held for more than 1 year

Both types are taxed at the same rates in Ontario.

Ontario Capital Gains Tax Rates

Ontario capital gains tax rates are progressive based on your Ontario tax bracket:

Ontario Tax Bracket	Capital Gains Tax Rate
5.05%	5.05%
9.15%	9.15%
11.16%	11.16%
12.16%	12.16%
13.16%	13.16%
14.16%	14.16%
15.05%	15.05%

Note: These rates are for 2023. Tax rates may change each year.

Frequently Asked Questions

What is capital gains tax?: Capital gains tax is a tax on the profit you make when you sell an investment for more than you paid for it.
How is capital gains tax calculated in Ontario?: In Ontario, capital gains tax is calculated by multiplying your capital gain by your Ontario tax bracket rate.
Is there a difference between short-term and long-term capital gains in Ontario?: No, Ontario treats both short-term and long-term capital gains the same way for tax purposes.
Do I have to pay capital gains tax if I make a loss?: No, you only pay capital gains tax if you make a profit from selling your investments.
Where can I find my Ontario tax bracket?: You can find your Ontario tax bracket on your Notice of Assessment from the Canada Revenue Agency.