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Thanks for explaining. Very informative. Is the dividend/capital-gain increase across the board? Or is it bucketed progressively like the income tax rates?
by ww520 14y ago
Thanks for explaining. Very informative.
Is the dividend/capital-gain increase across the board? Or is it bucketed progressively like the income tax rates?
- _delirium 14y agoMy read is yes, it's bucketed (corrections welcome, and my numbers are only for single filers): Below $35k income: the 0% capital-gains/dividend rate is retained Between $35k-$200k incomes: the 15% rate is retained Between $200k-$400k incomes: PPACA adds a 3.8% capital-gains surtax, but the 15% base rate is retained, effectively raising the marginal rate to 18.8% Above $400k incomes: the base marginal rate rises from 15% to 20%, plus the 3.8%, for a total of 23.8%
- ww520 14y agoThanks for the info. Sounds like if one has a big sell off of assets in a year, better get as low an income as possible, preferable with delayed income into the following year.