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I retired five months ago and have enough cash in a money market for
living expenses for the rest of this year and all of next year. I will have no income other than Social Security next year and should be in the 15% tax bracket. It is my understanding that the Capital Gains tax for anyone in the 15% tax bracket will be 8%. I have apprx. 20,000 shares of a stock currently selling for $34 for which the basis is 22 cents. Should I sell all of this stock to take advantage of the 8%?

Is my understanding correct about the 8%? This stock has done very well for me and I hate to get rid of it. Would it make sense to sell next year to get the 8% and then re-buy to get a higher basis for later re-sell. Sell of some of this stock will be needed starting in 2003 for living expense.

Thanks so much for your help...
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