On Sep 21, 2:49*pm, Roy Starrin <star...[at]verizon.net> wrote:
- quote -

P.S. Due to recent court case the gain may be less than the total
sale price of MET stock, but no one knows the exact amount. But, it
seems like it would be better to pay LTCG tax rate on MET stock which
would reduce amount of ordinary tax rate gain on the Life Insurance
should you cash it in. Depends on how long you had it, your net
gain, and if you cash the policies in rather than die (death benefit
not taxable but net gain on cashed in posicy is taxable)..

I have about 1250 shares of MET from New England life (I was their
agent) which merged with MET and I don't intend to sell ANY of it, but
to each his own.

ed

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On Sep 21, 2:49*pm, Roy Starrin <star...[at]verizon.net> wrote:
- quote -

The tax rate on LTCG is 0% until your taxable income reaches the top
of your 15% tax bracket (including the MET gain). Any excess is
taxed at a maximum of 15% (until you get into AMT territory where the
phaseout adds about 10% to some of your LTCGs).

You don't give enough info to advise you exactly on estimated taxes,
but if you paid 1/4 of last year's tax amount each quarter, either in
withholding or installments, you'll have no penalty. Same if 1/4 of
90% of current year total tax.

If neither of these work for you considering the new MET gains (but
would otherwise) pay an installment of 15% (of 0% if you're still
under your 24% bracket) of the MET gain on January 15, 2009. Use
voucher 1040ES. See instructions for form 2210 and/or Publication
505.

ed

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

Dad was a Met Life agent, so I grew up with lots of their insurance.
When they converted, I wound up with a couple of hundred shares of
their stock.
Tentatively plan to sell it in next 6-8 weeks. My understanding is
that since it cost me nothing, all monies received are capital gains.
Congress has screwed with the captial gains rate so much that I'm
confused. At what rate will that be taxed when I file 2008 taxes? If
I need to file estimated taxes, do I compute the amount at that rate?
Can I make just one estimated payment and get it over with?
Just want to get it right.
TIA

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