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Pixy says:
>As part of the IRS Restructuring bill, Congress reduced the holding period for long term capital gains rates to 18 months and a day<

Isn't this 12 months and a day?

>If your taxable income in 1998 as a single person is in the ranges shown, then your marginal income tax bracket is as indicated:<

What is usually missed in the discussion of Long Term Capital Gains rates is that the IRS uses a very complicated work sheet to determine your taxes.

The result of this work sheet is that your marginal income tax bracket is determined by adding your capital gain to your other income. So if your normal taxable income plus your capital gain income puts you in the 28% bracket, you will effectively pay 20% capital gains.

You actually pay 28 % on a reduced dollar amount.

Is this clear as mud? I think that's the way our politicians wanted it.

Paul
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