The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies

URL:  http://boards.fool.com/ive-done-some-more-research-on-this-am-convinced-10123326.aspx

Subject:  Re: Tax Q&A 3/5/98 - Schedule D Date:  3/8/1998  6:09 PM
Author:  Travzila Number:  2502 of 123001

I've done some more research on this am convinced the calculations for my Schedule D are correct. Why? Because my long-term capital gains all occurred at times that resulted in me using my ordinary income tax rates.

The capital gains tax rates table at http://www.1040.com/97capgns.htm is a handy reference that led to my conclusion, and one to which I shall refer to below.

I had LT gains that occurred before 05/06/97, and as I fell into the 15% income tax bracket, the table shows that 15% is the tax rate for these LT gains.

I also had LT gains that occurred after 07/28/97 that were held more than 12 months but less than 18 months. Again, the table shows that the 15% income tax bracket uses the same 15% rate for computing taxes on these LT ga