QSBS CALCULATOR

Maximize your QSBS tax savings

Qualified Small Business Stock (QSBS) is a section of the tax code that lets qualifying founders and early investors pay zero federal tax on certain gains.
QSBS Calculator illustration with cubes showing Q, S, B, S letters and a calculator

QSBS tax savings calculator

Get a quick estimate of your potential savings with this powerful tax break. Enter rough numbers, and we'll do the math.

Estimate based on QSBS rules, a federal tax break for early investors.

DISCLOSURE: This calculator is provided for your informational purposes only by eShares, Inc. dba Carta, Inc. ("Carta"). Carta does not provide legal, tax, or financial advice, and the use of this calculator is not a substitute for such professional advice or services nor should it be used as a basis for any decision or action that may affect your business or interests. USE OF THIS CALCULATOR IS ENTIRELY AT YOUR OWN RISK, AND CARTA ASSUMES NO LIABILITY FOR THE USE OF OR RELIANCE ON THIS CALCULATOR. Carta does not guarantee this calculator's applicability or accuracy in regard to your particular circumstances. This calculator is provided "as is" without warranty of any kind, either express, implied, or statutory, including without limitation, warranties of merchantability, fitness for a particular purpose, satisfactory purpose, title or noninfringement. Some jurisdictions do not allow the exclusion of implied warranties, so these exclusions may not apply to you. ©2025 eShares Inc., d/b/a Carta Inc. ("Carta"). All rights reserved. Reproduction prohibited.

Is your stock eligible for QSBS?

Company Requirements

  • Incorporated as a U.S. C corporation✅
  • Gross assets under $75 million✅
  • At least 80% of assets are used in the "active conduct of one or more qualified trade or business"✅
  • Not an excluded field (e.g. consulting, sports, law, health, financial services, banking, farming, and hospitality services)✅
  • Has not held more than 10% of net assets in stock or securities in other corporations that are or were not wholly owned✅
  • Has not held more than 10% of total assets in real property not used in the active conduct of a qualified trade or business✅

Shareholder Requirements

  • Shares originally issued from the company✅
  • Exercised options or acquired shares while the issuing company was a QSB✅
  • Held shares for a minimum of 3-5 years before selling✅

How the calculator works

Our free QSBS calculator assumes the requirements for QSBS were met when the shares were acquired, and uses the following information:

  • Number of shares you plan to sell
  • Holding period
  • Cost basis
  • Hypothetical sale price

Expert guidance on QSBS

Carta Equity Advisory is here to assist you in leveraging QSBS benefits and exploring various tax scenarios. Make informed decisions about your equity with our expert guidance.

Learn more