Is capital gains tax only a federal tax?? or are you taxed again by the state??

Question

Where would I find state capital gains tax rates?

Answer 1

As far as I know, no state has a lower capital gains rate in their tax code.

They all tax all income the same.

Answer 2

Capital Gains are taxed at a special rate for federal income tax purposes.  That is not always the case for state income tax purposes.  Each state makes that determination independently.  If you state does not have a capital gains rate the gain is generally taxed at the standard rate.

Answer 3

Some states tax capital gains and some do not.  If you tell me the state in which you reside, I can get an answer for you.

Examples:

AK, WA, WY, NV, SD, TX, TN, NH, FL - do not tax captial gains

PA - gain is taxed at the same as regular income (3.07%). Losses are ignored.

CA - gain is taxed at same rate as regular income. Losses are allowed and carried over just like federal.