Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 08-02-2019, 09:37 PM
Junior Member
 
Join Date: Apr 2018
Location: Dublin, CA
Posts: 21
Question Capital gains and qualified dividends for 2019

Hi TaxGuru,
Up to and including the 2017 tax year, my understanding was that for those taxpayers in the 10 and 15% tax brackets, long-term cap gains and qualified dividends were taxed at 0%. For married-filing-jointly, this typically meant that with a taxable income below $75,900, you would pay no tax on this income.
However, the new tax law that went into effect in 2018 changed the tax brackets. What is the new threshold of taxable income below which long-term capital gains and qualified dividends still enjoy 0% tax?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 08-03-2019, 08:38 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
The 2018 long term capital gains tax rate is holding steady through 2019, but the income required for each rate has changed: $0 - $78,750for mfj filers. l mean the 2019 long-term capital gains tax brackets is $78,750



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #3 (permalink)  
Old 08-03-2019, 07:09 PM
Junior Member
 
Join Date: Apr 2018
Location: Dublin, CA
Posts: 21
Thanks!
Does this mean that if our taxable income for 2019 is less than $78,750 (for MFJ), our capital gains is not taxed?
So, it's the 2 lowest tax brackets that have this "benefit"?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #4 (permalink)  
Old 08-05-2019, 03:39 AM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by 2davidc8 View Post
Thanks!
Does this mean that if our taxable income for 2019 is less than $78,750 (for MFJ), our capital gains is not taxed?
So, it's the 2 lowest tax brackets that have this "benefit"?
Ultimately, the capital gain / loss you compute on Sch D of 1040is combined with your other income / loss to figure your tax on Line 44 of Form 1040. Sch D
of 1040 and Form 8949 are included with Form 1040 when you file your 1040 with the IRS.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #5 (permalink)  
Old 08-05-2019, 08:38 PM
Junior Member
 
Join Date: Apr 2018
Location: Dublin, CA
Posts: 21
Yes, understood. Thank you!



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Putting on an Event January 2019: Registration Revenue in 2018; Expenses in 2019 dtronvig Income 3 02-23-2018 02:22 AM
January 2019 Event: Registration Revenue in 2018; Expenses in 2019 dtronvig Sole-Proprietorship 0 02-21-2018 05:48 PM
Qualified Dividends for LLC taxed as a C-Corp james rowlander C-Corporation 0 03-26-2015 09:10 AM
2008 Capital Gains & Qualified Dividends Tax Rate SurferDude Capital Gains 0 09-13-2008 01:16 PM
What are Senator Obama's Tax Policies on Dividends and Capital Gains Tax? TaxGuru Democrats 1 07-16-2008 02:58 PM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.