New York QSBS Capital Gains Tax 2026: Graduated income tax (top rate up to 10.9%)

New York QSBS capital gains in this model: Graduated income tax (top rate up to 10.9%). Use this calculator to stack federal long-term or short-term tax, NIIT when it applies, and New York's modeled treatment. New York taxes most capital gains as ordinary income; New York City local tax is not fully itemized in this estimate.

Rates last verified: August 2026

Capital Gains Calculator

Federal · NIIT · All 50 states

2026 ratesIRS verified

Follow the three steps, save the sale, then calculate. Required fields are marked with *.

Your tax profile

These apply to every sale in this estimate.

Tax year

Filing status

State

Annual taxable income (before these gains)

Capital loss carried from prior years

What you sold

Prices and quantity for this lot. Give it a name if you will add more than one sale.

Asset type

Asset name

Buy price

Sell price

Quantity / units

Selling expenses

Qualified Small Business Stock (Section 1202)

When you bought and sold

The IRS uses these dates to decide short-term vs long-term rates.

Buy date

Sell date

Next: Save this sale to the order log, then click Calculate now. Tax results do not update until you calculate.

Order log

Sales included in this tax estimate.

Please fill in the details to see your results. Follow the three steps on the left, then save a sale here.

New York tax on qualified small business stock

New York generally taxes qualified small business stock gains under its graduated income-tax framework (Graduated income tax (top rate up to 10.9%)). This estimate applies the top modeled New York rate to remaining taxable gain.

Federal rules for qualified small business stock: IRC Section 1202 may exclude eligible qualified small business stock gain after a more-than-five-year hold, subject to per-issuer caps. State conformity is not guaranteed. Holding period still matters for LTCG vs STCG except where a longer QSBS or real-estate test applies.

Open the parent New York calculator for a generic sale, or the national QSBS lander for asset-only copy. Nearby states below keep the same qsbs preset so you can compare residency. Estimates are not tax advice.

This model applies Section 1202 only after a more-than-five-year hold, capped at the greater of $10 million or 10 times basis. That is the pre-4 July 2025 rule as implemented here. Stock acquired after 4 July 2025 is not modeled for a $15 million cap, a 50% exclusion at three years, a 75% exclusion at four years, or a $75 million gross-asset limit. California adds the federal exclusion back into the state tax line. Other states are not given a separate QSBS adjustment in this model.

New York’s model taxes capital gains as ordinary income on a graduated scale with a top rate up to 10.9%. There is no separate state long-term capital-gains bracket in this estimate.

New York City’s local income tax is not itemized as its own line. A city resident can owe more than the state figure shown here. The page assumes New York State residency for the state tax.

Rates last verified: August 2026. Official source: https://www.tax.ny.gov/.

New York calculator QSBS (all states)U.S. Capital Gains Tax Calculator How to calculate gain Schedule D and Form 8949

Illustrated tax on a long-term gain

QSBS held long enough for long-term treatment in New York. Investment real estate does not use Section 121 in this table. QSBS uses a more-than-five-year hold.

Gain	Federal	NIIT	New York	Texas state tax
$25,000.00	$0.00	$0.00	$0.00	$0.00
$100,000.00	$0.00	$0.00	$0.00	$0.00
$250,000.00	$0.00	$0.00	$0.00	$0.00

Single filer, tax year 2026, $80,000.00 of other taxable income. Texas is the no-tax comparison. Illustration only, not your return.

FAQ

New York QSBS FAQs

How does New York tax qualified small business stock capital gains?

Does New York honor the federal QSBS exclusion?

This tool applies a modeled federal Section 1202 exclusion when QSBS is checked, then estimates New York tax on remaining gain (Graduated income tax (top rate up to 10.9%)). Some states decouple from Section 1202 — verify before you sell.

Which IRS forms apply to a New York qsbs sale?

Plan around acquisition records, Form 8949, Schedule D, and Section 1202 support. New York may require its own income-tax return when the state line is not $0. NIIT, if any, is computed on Form 8960.

Does New York tax qsbs gains if I am a part-year resident?

This page assumes full-year New York residency and applies graduated income tax (top rate up to 10.9%) to taxable qualified small business stock gain. Part-year allocation and nonresident sourcing are not modeled — use New York instructions or a CPA.

What does the New York QSBS illustration assume?

The New York QSBS rows use a single filer with $80,000 of other income and a long-term gain in 2026. This model applies Section 1202 only after a more-than-five-year hold, capped at the greater of $10 million or 10 times basis. That is the pre-4 July 2025 rule as implemented here. Stock acquired after 4 July 2025 is not modeled for a $15 million cap, a 50% exclusion at three years, a 75% exclusion at four years, or a $75 million gross-asset limit. California adds the federal exclusion back into the state tax line. Other states are not given a separate QSBS adjustment in this model. Texas is the no-tax comparison, not a second residency.