What is Capital Gain?
Capital gain is the profit you make when you sell something for more than you paid for it. You bought a stock for R$ 20 and sold it for R$ 30? Your capital gain is R$ 10. This profit can be taxed by the Income Tax.
Where it applies
- Sale of stocks (above R$ 20,000/month)
- Sale of real estate
- Sale of cryptocurrencies (above R$ 35,000/month)
- Sale of vehicles with profit
- Sale of any asset above its purchase value
Tax rates
Stocks
- Normal operations: 15% on the profit
- Day trade: 20% on the profit
- Exemption: sales up to R$ 20,000/month
Real Estate
- 15% on capital gain
- Exemption: single property up to R$ 440,000 (if no other property was sold in the last 5 years)
- Exemption: if the amount is used to buy another property within 180 days
Cryptocurrencies
- 15% on profit from sales above R$ 35,000/month
How to calculate?
Capital Gain = Selling Price - Purchase Price - Costs
Costs include: brokerage, fees, renovations (real estate), etc.
Important tip
Keep a record of all purchases (brokerage notes, contracts). Without proof of the purchase price, the Revenue Service may consider the cost as zero — and charge tax on the total sale value.