Last updated: 17 October 2026 Where do the most Americans report gains or losses from selling investments? The IRS publishes state-level counts from individual tax returns. These are the latest figures, for tax year 2023, ranked by the share of returns with a capital gain or loss.
29,481,840 of 159,949,000 federal tax returns for 2023 (18.4%) reported a net capital gain or loss, according to IRS Statistics of Income data. Together they reported a net $943.48 billion.
Washington has the highest share of any state, at 23.4%, followed by Massachusetts (22.8%), New Jersey (22.4%) and Connecticut (22.3%). The District of Columbia is higher still at 23.9%.
Mississippi has the lowest share at 10.2%, then West Virginia (11.2%) and Alabama (12.8%). Texas is at 15.1%.
California reported the most in total, $130.87 billion, followed by Florida at $116.96 billion. Wyoming had the highest net gain per return reporting one, about $79,400.
Capital gains by state, tax year 2023
| Rank | State | Share of returns | Returns with gain/loss | Net capital gain | Net per return reporting |
|---|---|---|---|---|---|
| 1 | District of Columbia | 23.9% | 83,200 | $5.86B | $70,405 |
| 2 | Washington | 23.4% | 885,750 | $22.53B | $25,437 |
| 3 | Massachusetts | 22.8% | 818,970 | $28.36B | $34,629 |
| 4 | New Jersey | 22.4% | 1,041,190 | $23.61B | $22,675 |
| 5 | Connecticut | 22.3% | 406,570 | $16.60B | $40,827 |
| 6 | South Dakota | 22.0% | 98,000 | $2.57B | $26,205 |
| 7 | New Hampshire | 22.0% | 160,860 | $5.89B | $36,633 |
| 8 | Colorado | 21.9% | 675,840 | $23.11B | $34,196 |
| 9 | Montana | 21.8% | 120,860 | $4.06B | $33,600 |
| 10 | Vermont | 21.6% | 72,350 | $1.71B | $23,610 |
| 11 | Minnesota | 21.5% | 623,090 | $12.49B | $20,038 |
| 12 | North Dakota | 21.1% | 78,190 | $2.46B | $31,489 |
| 13 | Wisconsin | 20.9% | 614,960 | $11.27B | $18,323 |
| 14 | Wyoming | 20.6% | 58,240 | $4.63B | $79,437 |
| 15 | California | 20.5% | 3,785,040 | $130.87B | $34,575 |
| 16 | Nebraska | 20.5% | 194,630 | $4.52B | $23,223 |
| 17 | Virginia | 20.3% | 846,360 | $19.69B | $23,263 |
| 18 | Iowa | 20.2% | 299,780 | $6.83B | $22,787 |
| 19 | Oregon | 20.2% | 417,710 | $8.93B | $21,377 |
| 20 | Illinois | 19.9% | 1,216,160 | $40.58B | $33,367 |
| 21 | New York | 19.9% | 1,950,080 | $78.75B | $40,385 |
| 22 | Kansas | 19.6% | 267,690 | $5.60B | $20,923 |
| 23 | Hawaii | 19.4% | 134,660 | $2.94B | $21,821 |
| 24 | Pennsylvania | 19.1% | 1,204,550 | $28.35B | $23,536 |
| 25 | Idaho | 18.7% | 165,830 | $5.75B | $34,648 |
| 26 | Maryland | 18.4% | 569,850 | $13.45B | $23,596 |
| 27 | Delaware | 18.4% | 93,230 | $1.83B | $19,638 |
| 28 | Florida | 18.2% | 2,036,090 | $116.96B | $57,445 |
| 29 | Missouri | 18.1% | 520,040 | $10.24B | $19,682 |
| 30 | Maine | 18.0% | 128,420 | $3.32B | $25,829 |
| 31 | Michigan | 17.8% | 865,590 | $15.87B | $18,337 |
| 32 | Arizona | 17.7% | 600,600 | $20.27B | $33,741 |
| 33 | North Carolina | 17.4% | 858,200 | $19.20B | $22,376 |
| 34 | Rhode Island | 17.3% | 98,600 | $2.70B | $27,342 |
| 35 | Alaska | 17.0% | 59,220 | $1.05B | $17,647 |
| 36 | Ohio | 16.8% | 956,190 | $16.91B | $17,680 |
| 37 | Utah | 16.8% | 259,000 | $9.93B | $38,321 |
| 38 | South Carolina | 16.1% | 400,490 | $10.88B | $27,162 |
| 39 | Nevada | 15.7% | 245,660 | $14.51B | $59,083 |
| 40 | Indiana | 15.4% | 499,630 | $10.66B | $21,336 |
| 41 | Georgia | 15.1% | 737,010 | $19.92B | $27,032 |
| 42 | Texas | 15.1% | 2,061,860 | $82.84B | $40,175 |
| 43 | Tennessee | 14.8% | 481,190 | $20.91B | $43,449 |
| 44 | Oklahoma | 13.8% | 235,830 | $6.49B | $27,523 |
| 45 | Arkansas | 13.7% | 177,350 | $9.70B | $54,691 |
| 46 | Kentucky | 13.6% | 268,870 | $5.56B | $20,694 |
| 47 | New Mexico | 13.4% | 131,390 | $2.85B | $21,722 |
| 48 | Louisiana | 13.1% | 252,600 | $5.76B | $22,811 |
| 49 | Alabama | 12.8% | 273,080 | $6.65B | $24,362 |
| 50 | West Virginia | 11.2% | 87,130 | $1.55B | $17,824 |
| 51 | Mississippi | 10.2% | 124,990 | $2.86B | $22,918 |
Share of returns is returns with an entry on the net capital gain (less loss) line divided by all returns filed from that state. Net per return is the total divided by returns with an entry; a few very large gains push this up, so it isn’t a typical amount.
What this tells traders, and what it doesn’t
Capital gains come from selling stocks, funds, property, crypto and businesses, not just trading, and they are concentrated among high-income households. Prop firm payouts are a separate matter: firms generally report them as contractor income rather than capital gains, as our page on prop firm payouts and 1099 thresholds explains. This isn’t tax advice. For where US trading businesses are based, see the trading industry by state, and for search interest, prop firm search interest by state.
Sources
- IRS Statistics of Income, Historic Table 2: individual income and tax data by state, tax year 2023 (file 23in55cmcsv.csv), fields N1, N01000 and A01000. Downloaded 17 October 2026.
Method
We use the all-incomes row for each state. N01000 is the number of returns with net capital gain (less loss) and A01000 the amount, which the IRS publishes in thousands of dollars; we convert to dollars.
Ranking covers the 50 states. DC, Puerto Rico and returns filed from other areas are in the CSV.
Caveats
The amount is a net figure. Returns with a net loss count towards the share, and deductible losses are capped at $3,000 a year, so totals understate gross trading activity.
The IRS rounds counts, and states are assigned by the filer’s address.
Tax year 2023 was the latest state file on the IRS site when we checked on 17 October 2026.
How to cite this
Prop Data Lab, “Capital Gains by State, IRS Tax Year 2023”, updated 17 October 2026, https://propdatalab.com/capital-gains-by-state-irs-2023/
The table and the CSV are free to reuse under CC BY 4.0: copy, chart or republish them, commercial use included, as long as you link back to this page. Source data: IRS Statistics of Income (US government work).
Common questions
What percentage of tax returns report capital gains?
18.4% of 2023 federal individual returns (29,481,840 of 159,949,000) had a net capital gain or loss entry, per IRS SOI data.
Which state has the most people reporting capital gains?
By share of returns, Washington (23.4%). By total amount, California ($130.87 billion in 2023).
Which state has the lowest share of capital gains returns?
Mississippi, at 10.2% of 2023 returns.
Are prop firm payouts capital gains?
Generally not. Prop firms usually pay traders as independent contractors and may issue a 1099-NEC. Ask a tax professional about your own situation.