Thread: "Taxes", Anything Related To It In Here

Hopefully we get something to have to pay taxes on.
Come on dinar.
LIT

Word that lonleyintexas.

Originally Posted by Cyberkhan

What I think you are referring to is the Estate Tax. Currently it is decreasing and in 2008(i think) it will be 0. Unless they pass certain laws to reinstate it...which i am sure that they will.

Not only estate taxes, but also Long Term Capital Gains tax was declining to as low as 5% per year, as I recall, but that may all change with elections, so if it does, cash out now. LOL

Maximum Tax Rate on Long-Term Capital Gains

The maximum tax rate on net long-term capital gains for individual taxpayers in the 25% or higher federal income tax bracket is 15% with respect to gain on sales occurring on and after May 6, 2003 and before Jan. 1, 2011. For net long-term capital gain realized by such taxpayers before May 6, 2003, the maximum tax rate is 20%.

Individual taxpayers who are in a regular federal income tax bracket of 10% or 15% pay tax on net long-term capital gains at a rate of 5% for gain on sales occurring on and after May 6, 2003 and before Jan. 1, 2011. For net long-term capital gains realized by such taxpayers before May 6, 2003, the maximum tax rate is 10%. In 2008, the special 5% long-term capital gains rate for these low-bracket taxpayers drops to 0% through 2010.

On Jan. 1, 2011, the 10% maximum rate will be reinstated for taxpayers in the two lowest brackets, while the 20% maximum rate will be reinstated for higher-bracket taxpayers (unless Congress acts to the contrary).

Good luck to all, Mike

Since I am no expert in the financial world and reading all this very useful and intelligent info in this thread, I think I am leaning toward contacting a Certified Financial Planner and go from there (after paying all current debt that is) I believe that money not going into your pocket there is no tax, until of course you have a dividend pay out or a regular income type of payment. Also a mutual club as mentioned here might be a good idea also.
I also want to thank all the people here for the time they take to do research and post all the good info here.

Originally Posted by Offshore-Wealth.com

Not only estate taxes, but also Long Term Capital Gains tax was declining to as low as 5% per year, as I recall, but that may all change with elections, so if it does, cash out now. LOL

Maximum Tax Rate on Long-Term Capital Gains

The maximum tax rate on net long-term capital gains for individual taxpayers in the 25% or higher federal income tax bracket is 15% with respect to gain on sales occurring on and after May 6, 2003 and before Jan. 1, 2011. For net long-term capital gain realized by such taxpayers before May 6, 2003, the maximum tax rate is 20%.

Individual taxpayers who are in a regular federal income tax bracket of 10% or 15% pay tax on net long-term capital gains at a rate of 5% for gain on sales occurring on and after May 6, 2003 and before Jan. 1, 2011. For net long-term capital gains realized by such taxpayers before May 6, 2003, the maximum tax rate is 10%. In 2008, the special 5% long-term capital gains rate for these low-bracket taxpayers drops to 0% through 2010.
On Jan. 1, 2011, the 10% maximum rate will be reinstated for taxpayers in the two lowest brackets, while the 20% maximum rate will be reinstated for higher-bracket taxpayers (unless Congress acts to the contrary).

Good luck to all, Mike

According to this we would def. not qualify for the decline in the capiral gains tax. You would have to be in the lowest two tax brackets for that.

I really don't mind paying 15% as compared to a whopping 35% PLUS almost 9% in state tax!!!

Caviar Wishes and Dinar Dreams!!!

Is anyone going to put their money in an offshore account. I understand that there is no capital gains tax, but off course, tax on the interest only. The rates of interest are quite good. This route I am seriously considering because of the high capital gains tax chunk required by the inland revenue in the UK. Lots of the big banks do offshore accounts so it is worth considering. any thoughts from our UK investors.

Originally Posted by Dinar Duchess

Is anyone going to put their money in an offshore account. I understand that there is no capital gains tax, but off course, tax on the interest only. The rates of interest are quite good. This route I am seriously considering because of the high capital gains tax chunk required by the inland revenue in the UK. Lots of the big banks do offshore accounts so it is worth considering. any thoughts from our UK investors.

Hi DD, there is no way I am going to hand over up to 40% Capital Gains Tax in the UK. I can just hop on a ferry and travel to the Isle of Man which doesn't have CGT.

Or if you live in Southern England Jersey or Guernsey may be a better option. I think it's time we started to do some more research on banks based in these islands.

Phil

Originally Posted by Cyberkhan

According to this we would def. not qualify for the decline in the capiral gains tax. You would have to be in the lowest two tax brackets for that.

I really don't mind paying 15% as compared to a whopping 35% PLUS almost 9% in state tax!!!

Caviar Wishes and Dinar Dreams!!!

I thought that what we paid in CGT was based on our regular income, ie; what we made this year not counting what we will make with the rv.
BTW, what is estate tax?

Originally Posted by ronbo

I thought that what we paid in CGT was based on our regular income, ie; what we made this year not counting what we will make with the rv.
BTW, what is estate tax?

Estate tax is what the Gov. imposes on you when you die. If your estate is worth over $2m you will be assessed up to a 50% tax. That is why you should consult an estate attorney sometime after this RV's. You can shelter the assets through various trusts.

When you cash any investment out within one year of purchase any and all gains are considered ordinary income for the purpose of tax reporting.

Hope this helps. As always do your own research to verify this information for your state.

Originally Posted by Dinar Duchess

Is anyone going to put their money in an offshore account. I understand that there is no capital gains tax, but off course, tax on the interest only. The rates of interest are quite good. This route I am seriously considering because of the high capital gains tax chunk required by the inland revenue in the UK. Lots of the big banks do offshore accounts so it is worth considering. any thoughts from our UK investors.

I've posted this before, but maybe it'll get more attention here...

Why Go Offshore :: Offshore 101 :: Equity Development Group

This company provides just about everything you need to protect your assets and your privacy. I would like to start a corporation, transfer assets to the corporation and take a yearly salary. We will pay income taxes and the corporation will pay all taxes associated with the assets (property, etc). OF COURSE WE WILL CONSULT WITH A TAX ATTORNEY, ETC TO ENSURE THAT WE ARE COMPLIANT WITH OUR COUNTRY'S TAX CODES.

Having said that, check this website out. They have an office in Dallas TX, and another offshore somehwere (can't remember)...they seem to have the most comprehensive program of any that I have seen.

As always, do your own DD.

Cheers, OSWoman