Updated October 4, 2026. Quick answer: Yes, with a break. Wisconsin taxes net capital gains as income, but the Department of Revenue says a filer “may exclude 30% of the net capital gain from assets” held more than one year, and 60% for farm assets. The rest is taxed at the regular rates, 3.50% to 7.65%.
Selling your home? How the state taxes the profit, from its own tax documents: Does Wisconsin tax the profit from selling your home?.
The same question for dividends and interest: does Wisconsin tax dividends and interest.
How Wisconsin treats capital gains
| Item | What the documents say |
|---|---|
| Treatment | Taxed as income after an exclusion for assets held more than one year |
| Exclusion | 30% of net capital gain from assets held more than one year; 60% for farm assets |
| Rates, single filer, tax years after 2024 | 3.50% on taxable income from $0 to $14,680; 4.40% to $50,480; 5.30% to $323,290; 7.65% above $323,290 |
| Where it is written | Schedule WD instructions, Publication 103 and Wis. Stat. 71.06(1r) |
A $50,000 long-term gain
On a $50,000 long-term gain held more than a year, 30% is excluded: $50,000 x 30% = $15,000, leaving $35,000 taxable.
Computed at the lowest rate, 3.50%: $35,000 x 3.50% = $1,225. Computed at the top rate, 7.65%: $35,000 x 7.65% = $2,677.50. Your bracket decides.
What changes in 2026
Wis. Stat. 71.06(2e)(bm) says that for taxable years beginning after December 31, 2025, each bracket dollar amount is raised by a CPI percentage. No 2026 bracket amounts are printed in the documents read.
Federal rules
The state’s treatment sits on top of the federal one. The IRS explains the federal tax on gains in Topic no. 409, Capital Gains and Losses and Publication 550, Investment Income and Expenses.
Related: whether Wisconsin taxes pensions, how Wisconsin taxes retirement income, the capital gains tax by state table, and the federal capital gains tax calculator.
Find the right next step for your situation
About how much do you have invested? Pick the range that fits; your next step appears immediately below.
Compare vetted advisors for investment gains
If your portfolio is $250,000 or more, this connects you (free, with no obligation to hire anyone) with 2 to 3 vetted advisors.
Before you start, what actually happens. The matching service is run by WiserAdvisor, an independent advisor-matching company. It opens on their site, asks for your ZIP code and a few questions, and matches you with 2 to 3 vetted advisors. It is free to you.
WiserAdvisor states the service is built for portfolios of $250,000 and above. By submitting, you consent to emails, phone calls and text messages from WiserAdvisor and up to three advisors, so expect to be contacted. Clear Money Guide may earn a referral payment for a qualifying completed form, whether or not you ever hire anyone.
Opens on WiserAdvisor’s site in a new tab.
See how an advisor plans your sales
Price the destination before you decide. The matching service below introduces you to advisers who pay to meet you.
Before you start, what actually happens. The form is run by Kapitalwise, our advisor-matching partner. Kapitalwise sends your details to advisers who pay for the introduction, so expect calls and texts. Clear Money Guide may earn a referral payment through this service, whether or not you ever hire anyone. This is free to you and there is no obligation to hire anyone.
The Kapitalwise form opens here; you stay on this page.
What happens when you press the button
It asks about nine questions: age, investable assets, location; then your name, email and phone number, and verifies the phone by text. Nothing loads and nothing reaches Kapitalwise until you press the button.
Prefer flat-fee or hourly pricing instead? Compare ranges here.
Answer againSources
- 2025 Schedule WD Instructions (I-170): https://www.revenue.wi.gov/TaxForms2025/2025-ScheduleWD-Inst.pdf
- Publication 103: Reporting Capital Gains and Losses for Wisconsin: https://www.revenue.wi.gov/DOR%20Publications/pb103.pdf
- Wisconsin Statutes 71.06 Rates of taxation: https://docs.legis.wisconsin.gov/statutes/statutes/71/i/06/1r
Sources: the primary documents linked above, read on October 4, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the plan administrator or the agency itself is the right place to confirm anything consequential.