In article
<55d98263-399c-4704-963f-2d8ecb0e2af3[at]l64g2000hse.googlegroups.com> ,
Davej <galt_57[at]hotmail.com> wrote:

- quote -

All of your income, including capital gain and qualified dividends are
included in your adjusted gross income (AGI). Your taxable income comes
from your AGI after adjusting for deductions and exemptions. However,
if your taxable income contains capital gains or qualified dividends,
then they may not be taxed at the same rate as the rest of your income.
The rate that they are taxed at depends on the amount of taxable income
and your filing status. The worksheets are designed to separate out the
capital gains and qualified dividends and apply the correct tax rate to
them. It is messy because it has to work for every circumstances
(different income levels, different filing status, etc).

--
-Ernie-

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

On Apr 3, 11:16 pm, Zigball <zigb...[at]gmail.com> wrote:
- quote -


What I want to know is why the crazy worksheet on page 35 of the 1040
instructions is so difficult to comprehend. Isn''t there an easier way
to explain what it is doing? Thanks.

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

In article
<3fc71356-325f-4452-bc67-c2babfe1050d[at]z38g2000hsc.googlegroups.com> ,
Zigball <zigball[at]gmail.com> wrote:

- quote -

Long and short term are used when talking about capital gains, not
dividends. But you're correct that the dividing point is 1 year.

--
Barry Margolin, barmar[at]alum.mit.edu
Arlington, MA
*** PLEASE don't copy me on replies, I'll read them in the group ***

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

Rich Carreiro <rlc-news[at]rlcarr.com> wrote in
news:m3myo94x8b.fsf[at]swing-shift.time-tripper.com:

- quote -


--
Best regards
Han
email address is invalid

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

In article
<3fc71356-325f-4452-bc67-c2babfe1050d[at]z38g2000hsc.googlegroups.com> ,
Zigball <zigball[at]gmail.com> wrote:

- quote -

Did you not read the last sentence just before this question?

"and line 1b shows which of those dollars were "qualified"."

--
-Ernie-

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

In misc.taxes.moderated, Zigball wrote:

- quote -

Which part did you not understand?

- quote -

No. Read more.

- 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. > << ------------------------------------------------------- >

On Apr 4, 7:45*am, DF2 <replyvia[at]newsgroup_please.com> wrote:
- quote -

what dollar amount is qualified to be taxed at a lower tax rate?
(unrelated to previous question) Long term and short term I assume
long term is more than a yr. and short term is less than a yr. when
talking about dividends, is this correct?

Thanks for the response and help, thanks to all!

========================================= MODERATOR'S COMMENT:
Please delete all unnecessary material from the prior message when
responding.

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

Han <nobody[at]nospam.not> writes:

- quote -

Qualified dividends and capital gains have nothing to do with
each other, aside from long-term capital gains being taxed in
the rate structure as qualified dividends. That definition
of qualified dividends has no effect on the definition of long-term
gains, which continues to be "gain on the sale of a capital asset
with a holding period of more than a year".

--
Rich Carreiro rlc-news[at]rlcarr.com

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

In misc.taxes.moderated, Zigball wrote:

- quote -

Qualified dividends are taxed at a lower rate. Form 1099-DIV line 1a
is the total ordinary dividends, and line 1b shows which of those
dollars were "qualified".

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

Barry Margolin <barmar[at]alum.mit.edu> wrote in news:barmar-
01D2AA.06270604042008[at]newsgroups.comcast.net:

- quote -

simple language, has fallen victim to "interpretation" by lawyers and
legislators.

--
Best regards
Han
email address is invalid

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

Barry Margolin <barmar[at]alum.mit.edu> wrote in news:barmar-
01D2AA.06270604042008[at]newsgroups.comcast.net:

- quote -

simple language, has fallen victim to "interpretation" by lawyers and
legislators. The above reference is a very good example. Apparently, the
operative wording for "qualified" dividends is:

the investor "must have held the stock for more than 60 days during the
121-day period that begins 60 days before the ex-dividend date," as the IRS
explains in Publication 550. (sorry see above link fr the html link to the
IRS publication)

Now, the difference between long and short gains is less clear to me in
view of this sentence, but I am a biochemist, not a linguist, or tax
expert.
--
Best regards
Han
email address is invalid

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

In article
<54e06f15-8e5e-48b9-a198-872d66c55d4f[at]m71g2000hse.googlegroups.com> ,
Zigball <zigball[at]gmail.com> wrote:

- quote -

Both are taxed, but qualified dividends are taxed at your capital gains
tax rate rather than your regular income rate. Google is your friend:

http://taxes.about.com/od/taxglossary/g/dividends.htm

--
Barry Margolin, barmar[at]alum.mit.edu
Arlington, MA
*** PLEASE don't copy me on replies, I'll read them in the group ***

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >

Can someone please explain to me what are Ordinary and Qualified
Dividends? I think that the qualified dividends are the ones that are
taxed on a 1040 tax return, if this is correct please elaborate and
explain why the ordinary is not taxed? If I am in error which is an
99.9% chance please elaborate on Ordinary and Qualified Dividends?

Thank you in advance, truly appreciated.

--
<< ------------------------------------------------------- > << 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. > << ------------------------------------------------------- >