Kapoor's career has spanned for over 30 years as an actor, he turned into producer with his critically acclaimed film Gandhi, My Father (2007).

His first role as a lead actor was in the Tollywood Telugu film Vamsa Vruksham (1980).

He won his first Filmfare Award for Best Supporting Actor category, for his role in Yash Chopra's Mashaal (1984).

He also starred in many other critically and commercially successful films, including Woh Saat Din (1983), Meri Jung (1985), Janbaaz (1986), Karma (1986), Mr. India (1987), Lamhe (1991), Virasat (1997) for which he won the Filmfare Award for Best Actor (Critics), Biwi No.1 (1999), Taal (1999) for which he won his second Filmfare Award for Best Supporting Actor, Pukar (2000) for which he won a National Film Award for Best Actor as well as No Entry (2005), Welcome (2007), Race (2008) and Race 2 (2013).

He also received two Filmfare Awards for Best Supporting Actor for Dil Dhadakne Do (2015) and Jugjugg Jeeyo (2022).