- Pennsylvania's personal income tax is a flat 3.07%.
- The Department of Revenue says digital assets, including cryptocurrencies, stablecoins, and NFTs, are property. Gains from selling them fall in the net gains from the disposition of property class.
- A loss in one class can't offset income in another class, and losses don't carry forward or back.
- There's no long-term discount: 3.07% applies however long you held the coins.
- Local earned income taxes generally don't apply to capital gains. Philadelphia residents should check the city's School Income Tax.
How Pennsylvania Taxes Crypto
Pennsylvania doesn't start from your federal return. It taxes eight separate classes of income, including compensation, interest, dividends, business profits, and net gains from the disposition of property. According to the Pennsylvania Personal Income Tax Guide, digital assets are property, so selling, swapping, or spending crypto creates a gain or loss in that class.
The total of each class is taxed at the same flat 3.07%. That makes the calculation simple once you know your net gain for the year.
Pennsylvania Crypto Tax Calculator (2026)
Free crypto tax calculator for Pennsylvania: estimate the federal capital gains tax and Pennsylvania state tax on a crypto sale, using 2026 tax brackets.
Example
Bought crypto for $5,000 and sold it for $8,000 after holding it more than a year. Single filer, $60,000 income: $3,000 long-term gain, estimated federal tax about $0 because the whole gain falls in the 0% long-term bracket (2026 brackets). Pennsylvania adds about $92.
Enter your own numbers and press "Calculate my crypto tax". Nothing you type leaves your browser.
Estimate only. Not tax advice.
How to report a crypto sale on Form 8949 →How this calculator works, with worked examples →
The Class Rules: Why Losses Work Differently
| Situation | Federal | Pennsylvania |
|---|---|---|
| Crypto loss vs crypto or stock gain, same year | Offsets | Offsets (same class) |
| Net loss vs wages | Up to $3,000 a year | Not allowed |
| Unused loss next year | Carries forward | Lost |
| Holding period | Decides the rate (0–20% vs 10–37%) | Doesn't matter: 3.07% either way |
The practical lesson: if you plan to realize a loss, doing it in the same calendar year as a gain gives you a Pennsylvania benefit. A loss in a year with no gains has no Pennsylvania value.
Worked Examples
Example 1: a $10,000 gain
Pennsylvania tax: $10,000 × 3.07% = $307, whether you held the coins for three months or three years. Federal tax is separate: $1,500 at 15% for a long-term gain, or up to 37% if short-term.
Example 2: a gain and a loss in the same year
You sell BTC for a $12,000 gain and SOL for a $5,000 loss in 2026. The net gain for the class is $7,000, and Pennsylvania tax is $214.90. If the SOL loss had been in 2025 instead, Pennsylvania would tax the full $12,000 in 2026 ($368.40).
Example 3: staking rewards
How Pennsylvania classifies staking and mining rewards depends on the facts, for example whether you're running a business. Keep a record of the dollar value of each reward on the day you receive it, and ask a preparer how to classify it on your PA-40.
Local Taxes: Earned Income Tax and Philadelphia
Most Pennsylvania municipalities and school districts levy a local earned income tax. It applies to wages and business net profits, not investment gains, so crypto sold as an investment generally isn't subject to it.
Philadelphia is different: residents may owe the city's School Income Tax on certain unearned income. If you live in Philadelphia and have significant crypto gains, check with the Philadelphia Department of Revenue whether your gains are covered.
How to Report Crypto on Your PA-40
- Gather each sale, swap, and purchase made with crypto during the year, with dates, proceeds, and cost basis.
- Complete PA-40 Schedule D to calculate net gains or losses from the disposition of property.
- Carry the net gain to your PA-40. A net loss in this class counts as zero and can't reduce other classes.
- Make estimated payments if a large gain leaves you under-withheld.
Pennsylvania's cost basis rules can differ slightly from federal rules in some cases. If your federal software carries figures over automatically, check the Schedule D numbers.
Federal + Pennsylvania Combined Crypto Tax Rate
The rate that matters is the combined rate on your next dollar of crypto gain: federal plus state. The table shows approximate 2026 rates for a single filer at two income levels. Pennsylvania's flat 3.07% applies at every income level.
| Taxable income (single) | Short-term gain (held ≤ 1 year) | Long-term gain (held > 1 year) |
|---|---|---|
| $60,000 | 25.1% | 18.1% |
| $250,000 | 38.9% | 21.9% |
Federal: 22% / 15% at $60,000, and 32% / 15% plus the 3.8% Net Investment Income Tax at $250,000, from the IRS 2026 brackets. Marginal rates only. Your average rate on the whole gain can be lower. See our federal crypto tax guide for the full brackets.
Pennsylvania Crypto Tax FAQ
What is the Pennsylvania tax rate on crypto?
A flat 3.07%. Pennsylvania taxes net gains from selling, swapping, or spending crypto at the same rate as other income, with no distinction between short-term and long-term gains.
Can crypto losses reduce my Pennsylvania wages?
No. Pennsylvania doesn't allow a loss in one income class to offset income in another class. Crypto losses can offset only gains from the disposition of property in the same year, and they don't carry forward.
Do I owe local tax on crypto gains in Pennsylvania?
Usually not. Local earned income taxes apply to wages and business profits, not investment gains. Philadelphia residents should check whether the city's School Income Tax applies to their gains.
Does Pennsylvania consider crypto property?
Yes. The Pennsylvania Department of Revenue treats digital assets, including cryptocurrencies, stablecoins, and NFTs, as property, so gains and losses from selling them are reported in the disposition-of-property class.
What is the combined federal and Pennsylvania tax rate on crypto?
For a single filer with $60,000 of taxable income, the combined federal and Pennsylvania rate on additional crypto gains is about 25.1% short-term and 18.1% long-term in 2026. At $250,000, including the 3.8% Net Investment Income Tax, it is about 38.9% short-term and 21.9% long-term.
Sources
Written by Asad Shaikh
Founder of StartCryptoNow. Nine years researching, trading, and teaching crypto; BSCS from Virtual University of Pakistan. Every tax figure is checked against IRS and state revenue publications. Our editorial policy.