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I am quoting this from a newletter:

"There is a form of capital gains tax that cap out at 14% no matter what your top bracket is. This is a special gift from the business lobbies that are trying to encourage us to create new capital for smaller companies which are the most profitable part of our cecomony."

Is this true? Do my fellow FOOLS know some of these companies and will share those names?

I'm sure some of the pros can address the specific parts of your question, but I went looking on and found what I think is an answer to the "Is this true?" part...

If you open (or download) <> and search for "1202", you'll find:Exclusion of Gain on
Qualified Small Business
Stock (Section 1202)

Section 1202 allows for an exclusion of up
to 50% of the eligible gain on the sale or
exchange of qualified small business stock.
may have to recognize all of the postponed
The section 1202 exclusion applies only to
qualified small business stock held for more
than 5 years. To be qualified small business
stock, the stock must meet all of the following
-It must be stock in a C corporation (that
is, not S corporation stock).
-It must have been originally issued
after August 10, 1993.
-As of the date the stock was issued, the
corporation was a qualified small business
(QSB).And it goes on with more details. But, unfortunately, no examples...

Hope this helps!
Phooley in Phoenix
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