Crypto tax in United States
Short-term gains taxed as ordinary income (up to 37%). Long-term gains (held >1yr) taxed at 0-20%.
- Short-term rate
- 37%
- Long-term rate
- 20%
- Treatment
- Capital gains tax
- Currency
- USD
How United States taxes crypto
The IRS treats cryptocurrency as property. Every disposal (sale, trade, spend) is a taxable event. Short-term gains are taxed at your ordinary income rate (10-37%). Long-term gains benefit from reduced rates of 0%, 15%, or 20% depending on income. An additional 3.8% Net Investment Income Tax may apply for high earners.
The long-term rate applies once you have held for more than 12 months.
A 10,000 USD gain, settled
| Held | Rate | Taken | Kept |
|---|---|---|---|
| Short-term | 37% | 3,700 | 6,300 |
| Long-term | 20% | 2,000 | 8,000 |
This is the arithmetic the app runs on your device. Real liability depends on your residency, income, allowances and how the authority classifies your activity. Treat it as an estimate and check with a qualified adviser before you act.
Elsewhere in North America
| Jurisdiction | Short-term | Long-term |
|---|---|---|
| Bahamas | — | — |
| Barbados | — | — |
| Belize | — | — |
| Bermuda | — | — |
| Cayman Islands | — | — |
| Dominica | — | — |
| Jamaica | — | — |
| Panama | — | — |
Headline rate last checked 31 July 2026 · methodology