Maine brokerage account growth calculator

What a taxable index-fund account is actually worth after expense-ratio drag and after Maine takes its share of the gain — which, in most states, is not at the federal preferential rate.

Maine taxes your gains as ordinary income

There is no state equivalent of the federal preferential rate here — a long-term gain is charged at Maine's normal income brackets, exactly like wages. This is the common case, and it surprises people who assume the federal 15% carries over. Long-term capital gains are taxed as ordinary income on Maine's graduated 5.8% / 6.75% / 7.15% schedule. Maine begins from federal adjusted gross income, which includes net capital gain in full, and neither the Schedule 1A income addition modifications nor the Schedule 1S income subtraction modifications contain a general capital gains exclusion, preferential rate or holding-period discount. The federal preferential long-term rate does not carry over, so a long-term gain taxed at 15% federally can be taxed at up to 7.15% by Maine.