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To: Dragonfly who wrote (4013)7/16/1998 4:02:00 PM
From: Snake  Respond to of 10852
 
Options are capital assets, so the 20 percent rate would apply. The only change in the proposed law is the rate is reduced to 20% and it is effective for the sales of assets after December 31, 1997. As a result, individuals realizing capital gains during calendar year 1998 will be eligible for the 20 percent capital gains tax rate, if they have held the assets for more than one year.