Collectibles Capital Gains Tax: Why Art, Gold, Coins, and NFTs Can Face a 28% Rate
Long-term gains on collectibles such as art, gold, coins, and certain NFTs use a maximum 28% rate, not the usual 0/15/20%. Here is how the 28% ceiling works, why it is a maximum and not a flat rate, and how it differs from the 25% Section 1250 rate.
Gains on collectibles do not get the same preferential treatment as a normal long-term stock gain. When you sell a collectible you held more than a year, the long-term gain is taxed at a maximum rate of 28%, instead of the usual 0%, 15%, or 20%. The word maximum matters. It is a ceiling, not a flat rate. A high earner pays the full 28%, while someone in a lower bracket pays their ordinary rate on the gain if that rate is below 28%. The 28% rate is separate from the 25% maximum that applies to unrecaptured Section 1250 gain on depreciated real estate, which is a different rule for a different asset.
This is an educational guide. The calculator gives a federal estimate. Mixed cases that combine collectibles, QSBS, and loss carryovers should be confirmed with a tax professional.
What counts as a collectible
The collectibles category is broad and physical. It includes:
- Art
- Coins
- Precious metals such as gold and silver
- Antiques
- Gems
- Stamps
- Certain other tangible personal property, and some digital assets such as NFTs that represent ownership of a collectible
The 28% rule reaches the metal in a gold coin or bar and the canvas in a painting. It does not reach a normal share of stock, even stock in a company that deals in art.
Collectibles 28%, normal LTCG, and Section 1250 25%
It helps to line up the three long-term rate ceilings side by side, because people mix them up:
| Gain type | Maximum long-term rate |
|---|---|
| Normal long-term gain (stocks, most assets) | 0%, 15%, or 20% |
| Collectibles gain | 28% maximum |
| Unrecaptured Section 1250 gain (depreciated real estate) | 25% maximum |
A normal stock gain tops out at 20%. A collectible tops out at 28%. The depreciation portion of a rental property sale tops out at 25% as unrecaptured Section 1250 gain, covered in the depreciation recapture guide. Three different ceilings, three different asset types.
A worked example: when 28% applies, and when it does not
We ran two filers through the Capital Gains Calculator.
High earner. A single filer with $320,000 of taxable income sells $150,000 of fine art held long-term. Their ordinary rate is already above 28%, so the full gain hits the cap.
- Collectibles tax at 28%: $42,000.
- The 3.8% NIIT adds $5,700.
Lower earner. A single filer with $30,000 of taxable income sells $10,000 of gold coins held long-term. Their ordinary rate is 12%, which is below the 28% cap.
- Collectibles tax at their 12% rate: $1,200.
Same asset class, very different rate. The 28% figure is the most the collectible can be taxed, not what everyone pays. A modest-income seller pays their own lower rate.
Use the Capital Gains Calculator to estimate the federal tax on your own collectibles gain.
Losses and holding period still matter
Holding period decides whether the 28% rule applies at all. A collectible sold within a year is just a short-term gain at ordinary rates, with no special collectibles treatment. Held longer than a year, it becomes a 28% rate gain. Capital losses, including a net short-term loss or a long-term loss carryover, reduce the 28% rate gain first on the Schedule D worksheet before the regular long-term gain, which can pull the taxable collectible amount down.
Why a full Schedule D worksheet can be required
When you combine collectibles with other special-rate items, the tax is computed on the Schedule D 28% Rate Gain Worksheet, which orders the 28% gain, any taxable Section 1202 amount, and your losses in a specific sequence. The calculator includes a version of this worksheet and gives a useful estimate, but a return that mixes collectibles, QSBS, and carryovers is genuinely complex. Treat the calculator output as a planning estimate and have a tax professional confirm the filing figure.
Open the Capital Gains Calculator to model a collectibles sale alongside your other gains as an estimate.
Related guides
- QSBS Section 1202 exclusion guide
- 1031 exchange depreciation recapture and unrecaptured Section 1250 gain
- 2026 capital gains tax brackets
Sources
- IRS, Topic No. 409, Capital Gains and Losses
- IRS, Schedule D (Form 1040), Capital Gains and Losses
- IRS, Publication 544, Sales and Other Dispositions of Assets
Last reviewed: June 21, 2026.
Frequently Asked Questions
What is the capital gains tax rate on collectibles?
Long-term gains on collectibles are taxed at a maximum rate of 28%. It is a ceiling rather than a flat rate, so a high earner pays the full 28% and someone in a lower bracket pays their ordinary rate if it is below 28%. Collectibles held one year or less are taxed at ordinary rates with no special treatment.
Is the collectibles rate the same as the 25% real estate rate?
No. Collectibles use a 28% maximum rate. Unrecaptured Section 1250 gain on depreciated real estate uses a separate 25% maximum rate. They are different rules for different asset types and should not be combined.
Does the 28% rate apply to gold and NFTs?
Physical gold, such as coins and bars, is a collectible and uses the 28% maximum rate when held long-term. NFTs can be treated as collectibles when they represent ownership of an underlying collectible, though the treatment of digital assets continues to develop, so confirm your specific case.
Run the numbers yourself
Estimate the federal tax on a collectibles gain