Forbes has published an article, “Forbes: 43.4% Capital Gain Tax? 10 Things To Know”, which discusses the important notes to consider about the 43.4% tax rate. The article begins as follows:
Most income is ordinary, including pay for services, interest, business profits, dividends, money for winning the lottery, and most other payments. But for generations, there’s been a big tax break for long-term capital gains, those held over a year. Assuming you get past one year, if you sell your house, car, crypto stockpile, Amazon stock or other assets, it’s long-term capital gain. Up to now, the tax rate on capital gain has been zero, 15% or 20%, depending on your income. In some cases you must add the 3.8% Obamacare tax, but at worst, your total tax bill is 23.8%. In contrast, ordinary wage income can face tax of 40.8% once you include payroll tax. But change is in the wind. Here are 10 things to know.
Click here to see the full article: “43.4% Capital Gain Tax? 10 Things To Know.”
Posted by Bella Hoang, Managing Associate Editor, Wealth Strategies Journal.