"crankster" <crankster37[at]hotmail.com> wrote
- quote -

This calculator, among others free online, reflects the
changes and is helpful in planning:

http://dinkytown.com/java/Tax10402008.html

I have tried a number of scenarios involving capital gains
for those in or around the 10% and 15% tax brackets, and
they are consistent with what has been written about this
special window of opportunity.

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

Alan wrote:
- quote -

For a more up-to-date article, also a little easier to read because it's
shorter and not written for CPA's, try this, or else just search the
Internet, there are plenty of articles.

http://www.usatoday.com/money/perfi/...al-gains_N.htm

As with most financial items, if it sounds too good to be true, it
probably is. In particular, the article cited above from the NY CPA
journal was written before the updated age requirements for the kiddie
tax were enacted, which closed one major loophole in the original law.

If you haven't been able or willing to take advantage of the current 5%
capital gains rate, I suspect the 0% rate won't work for you either,
since the rules are the same. Also remember that some states have no
special capital gains rate, so suddenly selling your stocks may backfire
in more ways than one. For example, where are you going to park the
sales proceeds where they won't generate increased taxable income in
subsequent years? Or, will a significant increase in selling drive down
market prices, largely negating the tax benefit?

Don't let the tax tail wag the dog, as the saying goes.

As a side note, I also question the accuracy of the statement in the CPA
journal article that "selling is best deferred until after the child’s
first semester of junior year, when a student’s financial status is no
longer evaluated" -- I never saw anything on a FAFSA that stated a
college junior didn't have to report assets or income.

-Mark Bole

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

"crankster" wrote:

- quote -

For all the necessary 2008 numbers see the 2008 Form 1040-ES. For the
calculation method, see the 1040 instructions.

--
Phil Marti
Clarksburg, MD

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

crankster wrote:
- quote -


--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

Ive read that 2008 capital gains tax rates will be 0% for those in
the 10% & 15% brackets. Where can I get more information on this
including income limitations?

Thank

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >