Zero rate ap gains for 2008, please check me

lsbcal · 12-18-2007, 01:05 PM

I'm thinking now about the best usage of the 2008 capital gains tax in the 15% and under bracket. As I understand it, in 2008 the cap gains tax is *zero* for the 15% and under bracket. Here is a numerical example(numbers are in thousands):

Code:

 
 65    approximate top of 15% bracket in 2008 for couple
-10    income (could be dividends)
  6.6  exemptions for two (these are 2006 numbers)
 15    itemized deductions
-------------------------
 76.6  the max amount of cap gains couple can take in 2008 at zero rate

Does this look approximately right?

SecondCor521 · 12-18-2007, 03:09 PM

I think you're approximately right.

I found the following numbers, assuming MFJ:

65,100
(10,000)
7,000
15,000

Which would make the number about $77,100 if I did the math right.

Depending on the nature of the $10,000 in income, that would either be taxed at ordinary rates or capital gains rates if they were qualified dividends.

IANAA.

2Cor521

lsbcal · 12-19-2007, 10:10 AM

Thanks for checking me out on this!

12-18-2007, 01:05 PM	#1
lsbcal Full time employment: Posting here. Join Date: May 2006 Posts: 525	Zero rate ap gains for 2008, please check me I'm thinking now about the best usage of the 2008 capital gains tax in the 15% and under bracket. As I understand it, in 2008 the cap gains tax is zero for the 15% and under bracket. Here is a numerical example(numbers are in thousands): Code: 65 approximate top of 15% bracket in 2008 for couple -10 income (could be dividends) 6.6 exemptions for two (these are 2006 numbers) 15 itemized deductions ------------------------- 76.6 the max amount of cap gains couple can take in 2008 at zero rate Does this look approximately right?

12-18-2007, 03:09 PM	#2
SecondCor521 Thinks s/he gets paid by the post Join Date: Jun 2006 Location: Boise Posts: 1,344	I think you're approximately right. I found the following numbers, assuming MFJ: 65,100 (10,000) 7,000 15,000 Which would make the number about $77,100 if I did the math right. Depending on the nature of the $10,000 in income, that would either be taxed at ordinary rates or capital gains rates if they were qualified dividends. IANAA. 2Cor521 __________________ "At times the world can seem an unfriendly and sinister place, but believe us when we say there is much more good in it than bad. All you have to do is look hard enough, and what might seem to be a series of unfortunate events, may in fact be the first steps of a journey." Violet Baudelaire.

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12-19-2007, 10:10 AM	#3
lsbcal Full time employment: Posting here. Join Date: May 2006 Posts: 525	Thanks for checking me out on this!

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