In microsoft.public.money, Rajen Shah wrote:

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I cannot replicate your observation.




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You are correct in that the number is not affected in any way by any capital
gains. I am certainly not in the 0% or 5% category.

I appreciate that the tax number is an estimate - there are lots of other
factors. But, I was hoping to use that as a guideline as to what I would
expect to pay and also give me some idea of whether I need to look deeper
into it to ensure I have enough witheld.

Anyway, if you find a way to "fix" this, I would appreciate it.

"Cal Learner-- MVP" wrote:

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In microsoft.public.money, Rajen Shah wrote:

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The US income tax on qualified long term capital gains can be at a
0%, 5% or 15% rate, based on income and filing status.

I don't know if Money is properly figuring the rates, but I think
you are saying that the estimated taxes are not even affected by the
presence of the capital gain.


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Note that the number is still just an estimate.

Let me try to explain more clearly.
On my home page, I have enabled the content to show me "Estimated Taxes",
which displays a bunch of information pertaining to taxes for the current
year.
In that box, I see, among other things, the following:
- Filing Status
- Marginal Tax Rate
- Wages & salary
- Capital gains & losses
- Interest/dividend income:
- Total income:
..
..
- Taxable income
- Estimated taxes
- Estimated taxes paid
etc.

The amount I see for "Estimated taxes" is not including what taxes I would
owe for the capital gains & losses. For example, if I had a long term capital
gain of $10,000, my estimated taxes should reflect the additional 15% of
$10,000. It does not do that.

That is the problem I am trying to solve. I don't want to override any
numbers - I want Money to take the numbers that it has in its database to
calculate my taxes.

I get the same view (same numbers) if I do what you suggested - Taxes-> Tax
Estimator-> Summary.

Hope that is clearer.

In microsoft.public.money, Rajen Shah wrote:

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I am not sure what you are saying.

The "Taxable income" item has various components, which you can see
by clicking on "Taxable income". You can override the various
amounts.


The "Estimated taxes" is an approximation of what you would be
paying for income tax if you had no more income to enter for taxable
income. It should not reflect the amount of capital gains, but
should include the effect of capital gains taxes.


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I sold some shares in a taxable account for a profit.

The item "Capital gains & losses:" does show up on the screen, but the
amount specified for "Estimated taxes:" further down does not take into
account the amount in capital gains & taxes. It only seems to look at the
"Interest/dividend income" and "salary".

So, the tax calculations are off from what I should actually owe.

"Cal Learner-- MVP" wrote:

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In microsoft.public.money, Rajen Shah <Rajen
Shah[at]discussions.microsoft.com> wrote:

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I configured in EstimatedTaxes into the Money 2007 the "home" page,
and I *do* see capital gains & losses listed as an item.

Have you already sold some securities in a taxable account this
year?

I also suggest you go to Taxes-> TaxEstimator-> Summary.

MS wants you to buy their paid product, GainsKeeper.

"Michael Gordon" <gordonm[at]denison.edu> wrote in message
news:%23aTR1aeuHHA.3388[at]TK2MSFTNGP04.phx.gbl...
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A "limitation" rather than a "bug"?

--
Michael Gordon


"Rajen Shah" <Rajen Shah[at]discussions.microsoft.com> wrote in message
news:688FA0E1-E532-49AF-8126-A002FB243369[at]microsoft.com...
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I have the tax estimator panel enabled on my home page. What I am seeing is
that Money estimates the taxes that I currently owe but does not include any
capital gains in that calculation. So, the tax number is not correct. I have
tried to set this up but have not been successful.
Can anyone help me to set this up? Or is there a bug in this version that
needs to be fixed?
Thanks.