The Capital Gains Blog

Archive for April, 2008

Senate OKs 1031 exchange tax fix

While the New Hampshire House and Senate spent hours debating the budget, coin tosses and parliamentary procedure, they spent a minute sending a number of bills to the governor to become law.Aside from the budget, they also sent a lot of bills to a committee of conference. The fate of those bills is unknown, including two key bills (House Bill 1609 and Senate Bill 297) addressing reasonable …

Aircraft Escrow, Aircraft Title Search, AIC Title Service

Question: Capital Gains in 2008 = Tax Free Income?

Is it true that all capital gains made in 2008 will not be subject to any Federal Income Tax?

Answer: My wages alone will put in the 25% tax bracket, therefore any Long Term Capital Gains that *I* have will be taxed at 15%.

For a married filing joint couple whose taxable income is $70,000 including $10,000 of capital gain will discover that they straddle the line between the 15% and the 25% tax bracket.

From $60,000 to $65100, the capital gains is 0%. From $65,100 to $70,000, it’s 15%. Or $735 on that $10K gain.

America Movil’s 4Q Net Dented By Depreciation, Taxes

(Adds information on taxes, U.S. operations, and debt levels.) DOW JONES NEWSWIRES MEXICO CITY -(Dow Jones)- America Movil SAB (AMX, AMX.MX), Latin America’s largest mobile operator, said Tuesday its…

SBS (Soak’em) Capitalism, Middle Class, Fascism & Capital Gains Tax

Question: Does my tax proposal make sense?

A flat tax of 10%, with an allowance of $20,000 for individuals, and $40,000 for families. So a family of 4 that makes $45,000 would pay $500 in taxes, or about $9.60 per week.
That 10% applies to all taxable sources: capital gains, inheritance, income, dividends, etc.
If you think my proposal is unfair, please tell me why you feel it is.
Corporations would pay 10% tax on profits as well.

Answer: Obviously Sherilyn cannot differentiate corporate tax from income tax, they are too different animals. I like your plan however I would eliminate the allowances. EVERYONE needs to pay their share.

Actions Semiconductor Reports Fourth Quarter and Full Year 2009 Results

ZHUHAI, China, Feb.

Question: i am selling investment property for which i will have large capital gains .?

my normal tax bracket is close to 0 as depreciation covered my income. ihave heard that capital gains will be taxed at Capital Gain Rates or my ordinary income rate which ever is lower. Is that true.

Answer: I’m assuming that you are selling a property that you have been depreciating. I don’t know if you are a real estate professional who has been writing off your losses as you go or a passive investor, but I will assume a passive investor.
You Willl compute your gain on the sale of the property under normal rules. You gain will then be taxed at 25% to the extent of depreciation taken on the property that you sold. Any gain above this depreciation amount wil be taxed at the 15% Capital Gains Tax rate.
In addition this gain will be passive income that will allow you to use your passive losses to the extent of the passive gain which is deductible in full on your return as an ordinary loss.

U.K. Money Manager Starts Property Fund With Tax-Free Dividends

The Piccadilly U.K. Commercial Property Income Fund will target institutional investors including wealth managers, pension funds and charities, London-based Clavis Walden said in an e-mailed statement today.

Question: I invested $1000 into my Roth IRA for 2007. It is now worth only $100. Is there a way to claim a Capital Loss?

I feel like an an idiot. Please help me salvage this situation

Answer: Nope. Not on a tax deferred account. If you aren’t comfortable with this type of loss, you whould invest your Roth in balanced mutual funds.

These Money Moves Will Keep Taxes at Bay

No matter the time of year, taxes are an important topic for investors. There are quite a few investment strategies you can use to lower your tax bill, retain as much of your pretax profit as possible, and give your after-tax bottom line a money-in-the-bank boost.