Top1031

What you'd owe if you sell — and what a 1031 defers

Federal, depreciation recapture, NIIT, and state. Two minutes, no email required.

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Your numbersFill in what you know. The estimate updates as you type.
2026 rates

What you have in the property

What you paid, what you added, and the depreciation you have already deducted. Those three make up what tax rules call your adjusted basis — the number your gain is measured against.

What kind of property
Depreciated over 39 years.
The purchase price on its own. Improvements go in the next field.
Work you had to capitalize rather than deduct — a new roof, an addition, a full renovation. Ordinary repairs do not count.
Half years are fine. Enter 10.5 for ten and a half.
Depreciation you have already deducted$246,154Estimated in a straight line from the price, the land share, and the years above. It is taxed back when you sell.

What you expect at closing

The price you expect, what comes out of it at closing, and the loan that gets paid off.

Before anything comes out of it.
Commission, title and closing costs, as a share of the price. That is $126,000 here.
What is still owed on the property when it sells.

Your tax situation

How you file and what you already earn decide which federal rates apply to the gain. Your state adds its own.

Not counting anything from this sale or the other capital gains entered below. It sets which capital gains rate the gain lands in.
Where the property is, not where you live — that is the state which taxes the sale. Your home state generally credits what you pay there.
What this estimate assumes 8 assumptions, and what is left out
  • Tax year 2026. Rates and brackets are the ones the IRS published for 2026 in Rev. Proc. 2025-32.
  • Depreciation estimated at the same amount every year — what tax rules call straight-line — with 20% of the price treated as land.
  • The income figure behind the 3.8% net investment income tax — your modified adjusted gross income, or MAGI — is taken to equal your taxable income, before this sale and the other gains you entered are added.
  • Long-term gain is stacked on top of your other taxable income and the other capital gains you entered, and taxed bracket by bracket at 0%, 15% and 20%, as the IRS worksheet does. The other gains count toward the 3.8% tax threshold too, so the figures shown are what this sale adds on top of them.
  • Depreciation recapture — what tax rules call unrecaptured section 1250 gain — is taxed here at its 25% cap. If your ordinary income tax rate is lower than 25%, that part is taxed at your lower rate, so this line may be high.
  • Any gain you do pay tax on in an exchange is counted as depreciation recapture first, up to the depreciation you took, before the rest is taxed at capital gains rates.
  • Leaves out the alternative minimum tax (AMT), a second federal calculation that raises the bill for some filers.
  • Leaves out state claw-back rules. California, for one, taxes a deferred gain later if you exchange out of the state.