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Finance For Dummies

Finance For Dummies offers personal finance information on investing, retirement investing, finance, insurance, credit cards, loans and more. Personal finance education is our goal.

Sunday, June 18, 2006

Long-term Capital Gains Rates

The latest tax bill this year has extended through 2010 an excellent rate structure for long-term capital gains for investment assets held over 1 year as well as dividends. The highest rate of taxation on capital gains will stay at 15% through 2010. Individuals in low tax brackets (10% and 15%) will continue to get the 5% rate on capital gains through 2007 and then go to 0% from 2008-2010. So things have not changed much with long-term capital gains except in lower taxes brackets, but it is good to know this information when trying to understand your investments.

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