Again, the gain is taxed based on your total taxable income (of which that gain is a part).
SO lets say that you have a 100,000 gain and file as single. (Here are the REGULAR income tax brackets)
Single Filing Status
[Tax Rate Schedule X, Internal Revenue Code section 1(c)]
- 10% on taxable income from $0 to $9,075, plus
- 15% on taxable income over $9,075 to $36,900, plus
- 25% on taxable income over $36,900 to $89,350, plus
- 28% on taxable income over $89,350 to $186,350, plus
- 33% on taxable income over $186,350 to $405,100, plus
- 35% on taxable income over $405,100 to $406,750, plus
- 39.6% on taxable income over $406,750.
So, as you can see, once that total income hits 36,900 the gain is taxed at 15%
But again, if thei is your primary residence, (lived in the home for 2 out of the last 5 years), then you can exclude (not reportable, not taxable) $250,000 if you file as a single filer, or $500,000 if you are a joint filer.