Rhode Island Capital Gains Tax: 2026 Rules and Calculator

Short answer: Rhode Island taxes capital gains as ordinary income at 3.75%, 4.75% and 5.99%, with 5.99% on the top bracket. On top of that comes federal capital gains tax (0%, 15% or 20% for 2026 under IRS Rev. Proc. 2025-32, and up to 25% on building depreciation) and the 3.8% net investment income tax above $250,000 of income for married couples or $200,000 single (IRC 1411).

Rhode Island capital gains tax calculator

Enter your sale: rental property, your home, land, a business, stock or collectibles. You get the 2026 tax in Rhode Island (federal, the 3.8% tax and Rhode Island tax) and the same sale spread over the years the buyer pays you. It runs in your browser on the same engine as our capital gains tax calculator.

Example loaded. Change any number to run yours.

What you are sellingRental or investment real estateYour home (Section 121 exclusion)LandA business you work inPublicly traded stock or fundsCollectibles (art, coins, gold, cars)

Sale price

Selling costs (commission, title, legal)

Your adjusted basis

What you paid plus improvements, minus depreciation or depletion taken. Inherited: the value at the date of death.

How long you have held itMore than 1 year1 year or less

State you will be taxed inAlabamaAlaskaArizonaArkansasCaliforniaColoradoConnecticutDelawareDistrict of ColumbiaFloridaGeorgiaHawaiiIdahoIllinoisIndianaIowaKansasKentuckyLouisianaMaineMarylandMassachusettsMichiganMinnesotaMississippiMissouriMontanaNebraskaNevadaNew HampshireNew JerseyNew MexicoNew YorkNorth CarolinaNorth DakotaOhioOklahomaOregonPennsylvaniaRhode IslandSouth CarolinaSouth DakotaTennesseeTexasUtahVermontVirginiaWashingtonWest VirginiaWisconsinWyoming

Filing statusMarried filing jointlySingleHead of household

Other income this year (before deductions)

Years the buyer pays you over (1 = all now)

Expected sale date

Rhode Island taxes capital gains as ordinary income at 3.75%, 4.75% and 5.99%, with 5.99% on the top bracket. The calculator applies 5.99% to the gain. Its Rhode Island table also carries a surtax on income over $1,000,000 from 2027 that we could not confirm in Rhode Island law, so this page uses a sale taxed in 2026 only. Source: Rhode Island General Laws 44-30-2.6; RI Division of Taxation, personal income tax, checked October 13, 2026. Federal: 2026 brackets per IRS Rev. Proc. 2025-32 (0%, 15% and 20% on long-term gain; 20% above $613,700 of taxable income married filing jointly); 25% cap on building depreciation, IRC 1(h)(1)(E); 28% cap on collectibles, IRC 1(h)(4); 3.8% net investment income tax above $250,000 married or $200,000 single, IRC 1411.

Estimated tax on this sale (2026), example in Rhode Island

$282,494

You keep $1,202,506 after selling costs and tax. The tax is 28.7% of your gain.

Your gain

• Sale price less selling costs$1,485,000
• Less your basis$500,000
• Your taxable gain$985,000
• Long-term gain at 0%, 15% or 20%$985,000

The tax, line by line

• Federal income tax (incl. $13,258 AMT)$187,963
• Net investment income tax (3.8%)$35,530
• Rhode Island tax$59,002
• Total tax$282,494
• You keep$1,202,506

Spreading it: traded stock cannot be sold on the installment method (IRC 453(k)(2)), so the whole gain is taxed in the year you sell.

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These are estimates. Have a qualified tax professional run your real numbers in a 15-minute scope call.

Why now: the closing date and how the buyer pays you are set before closing, and they decide how much Rhode Island and federal tax this sale costs.

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This is an estimate. Getting it right down to the tee takes your actual tax forms (returns, K-1s, depreciation schedules), a consult and a paid analysis. The first 15-minute scope call is free.

How Rhode Island taxes capital gains in 2026

Rhode Island taxes capital gains as ordinary income at 3.75%, 4.75% and 5.99%, with 5.99% on the top bracket.

Selling Rhode Island property while living elsewhere: Rhode Island taxes a nonresident on gain from real estate and other property located in Rhode Island, so selling Rhode Island property from another state still means a Rhode Island return.

Worked example (computed October 13, 2026)

A stock sale taxed in one year. A married couple filing jointly in Rhode Island sells publicly traded stock for $1,500,000 with $15,000 of selling costs. Basis is $500,000, and other income is $200,000.

• Taxable gain: $985,000.
• All in one year (2026): $187,963 federal income tax, $35,530 net investment income tax and $59,002 Rhode Island tax (6% of the gain): $282,494 in total, 28.7% of the gain.
• Traded stock cannot be sold on the installment method (IRC 453(k)(2)), so this sale is all in one year.

What the calculator simplifies

The calculator applies 5.99% to the gain. Its Rhode Island table also carries a surtax on income over $1,000,000 from 2027 that we could not confirm in Rhode Island law, so this page uses a sale taxed in 2026 only. It also leaves out local taxes unless named above, the alternative minimum tax effect of note interest, and equipment recapture on a business sale. Federal tables for later years carry the 2026 tables forward.

Spreading a Rhode Island sale over several years

On an installment sale the gain is reported as the buyer pays you (IRC 453), so each year's slice can stay in lower federal brackets and under the 3.8% threshold. Building depreciation is reported first (Treas. Reg. 1.453-12), equipment recapture is taxed in the year of sale (IRC 453(i)), and notes over $5,000,000 owe the Section 453A interest charge. More on how it works: what a structured installment sale is.

Sources

• Rhode Island General Laws 44-30-2.6; RI Division of Taxation, personal income tax
• IRS Rev. Proc. 2025-32: 2026 federal brackets.
• IRC 1(h) and IRC 1411: capital gain rates and the 3.8% tax (as in force October 2026).

Frequently asked

What is the capital gains tax rate in Rhode Island for 2026?

Rhode Island taxes capital gains as ordinary income at 3.75%, 4.75% and 5.99%, with 5.99% on the top bracket. Federal capital gains tax and the 3.8% net investment income tax come on top.

How much tax on a $1,500,000 sale in Rhode Island?

In the example on this page, a married couple filing jointly selling publicly traded stock for $1,500,000 with a $985,000 taxable gain owes $282,494 in 2026: $187,963 federal, $35,530 net investment income tax and $59,002 Rhode Island tax.

Do nonresidents pay Rhode Island tax when they sell property there?

Rhode Island taxes a nonresident on gain from real estate and other property located in Rhode Island, so selling Rhode Island property from another state still means a Rhode Island return.