Replies to post #428579 on Fannie Mae-No Politics (FNMA)

[stocks2012]

You have to hold and buy a stock you purchase for a year for it to be considered long term capital gains when you sell it after the year. At that point (depending on your tax bracket) you would only pay 10% on your gains rather then buying and selling a stock less then a year and paying closer to 30%.

[wil318466]

Capital gains is essentially broken up into short term or long term. Long term is holding an investment one year and one day. If you hold it less than that and sell it at a profit, your profit is taxed at your normal tax rate. If you sell it after one year, you are (currently) taxed at 15%.

Just look at your trade dates on when you invested. Those trades should be held 1 year and 1 day before you sell if you want to be taxed at the lower rate.

If you want to argue why it's such a big difference, or seems unfair, know that you are being taxed on money that was already taxed. Many people think it's unfair that "rich" people pay "lower" tax rates due to long term capitals gains being only 15%.

My personal opinion is that it's pretty awful that you are taxed when you make the money (paycheck), taxed when you spend it, and taxed when you invest it.

[cfljmljfl]

You have capital gains tax on a stock share (s) held over a year when sold for a profit.
Share (s) held shorter time and sold for a profit, the tax on the profit is based on your income tax , as the profit is treated as income and add to income taxable for that period .

POINT CAPITAL GAINS IS A FIXED RATE.

INCOME TAX IS A VARIABLE RATE BASED ON YOUR INCOME LEVEL.