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|Subject: Tax upon tax||Date: 12/4/2012 9:09 PM|
|Author: OrmontUS||Number: 410491 of 506062|
While we watch the Fiscal Cliff brinkmanship, it is easy to forget that "Obamacare" adds another 2-4% on top of wages, capital gains and dividends.
I'm not going to comment on what the two major parties are proposing or the movement to segment our population along income lines.
What I am simply pointing out is that the net result of the demise of the Bush tax cuts will result in higher taxes than during the Clinton administration for all income tranches which have their rates reset.
Once more I suggest the efficacy of considering (depending on your perception of what your tax rate is likely to be next year) swapping dividend paying stocks for stocks which are more likely to "bank" their profits. Likewise, swapping taxable bonds for tax free munis may also make sense.
Once more I point out that it is your income statement which is taxed, rather than your balance sheet (for now at least).
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