Replies to post #13231 on SK3 Group Inc. (SKTO)

[nowy257]

I don't know if I will be able to hold whole 2 millions shares for over a year , but if everything will progress in good direction , I will hold as many as possible for over a year , b/c I may be able to save hundreds of thousands of dollars on TAX.

[unitygain]

Hope this helps:

Short Term > Less than a year is taxed @ 15%


Long Term > Over a year is taxed as ordinary income. Ordinary income meaning, whatever tax bracket your job income rate plus the gain of the stock you cashed in.
So if you made $50,000 Taxable income and made $100,000 in a stock you held for less than a year, then your tax rate will be in the table of $150,000. always best to hold long term. But if you must sell anything less than a year, then put 50% aside for the tax liability.

http://taxes.about.com/od/capitalgains/a/CapitalGainsTax_4.htm

That's my plan. And then take the 50% you are holding for next years tax return and put it in a CD or something so you can get interest on it. And be prepared to pay tax on the interest you earn on the CD. Yeh it is confusing, but it is all free money anyway...