I understand the separate tax brackets for long term capital gains, and how to compute it in most scenarios. But what if I have 0 earned income in a given year but realize 100k profit in long term capital gains from selling an investment property? Filing single, would I get the first $12,000 (standard deduction) at 0% tax, then the next $38,600 at 0% (long term cap gains rate), leaving only $49,400 to be taxed at 15%? Or since my income from the single 100k sale puts me into the $38,601-$425,800 income bracket, would I have to pay the whole 100k at 15%? Or 100k - 12k standard deduction = 88k at 15%?
