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| Subject: Can anyone clarify? | Date: 12/11/2006 5:24 PM | |
| Author: blearynet | Number: 19065 of 35468 | |
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If the income on Tbills is taxed as interest, not dividends, then it does not qualify for the 15% rate (unless one is in the 15% bracket). Is this correct? So is it better to NOT purchase individual Tbills, and use a bond fund instead, because this is taxed at the dividend rate of 15% ?? We are in the 28% tax bracket, and in the 9.3% state income tax bracket. I had been moving into Tbills because they are exempt from state tax. However, now I am wondering if this is a big mistake. |
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