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To: DepyDog who wrote (7545)	3/22/1999 11:32:00 PM
From: Out_of_the_Trap	Read Replies (2) \| Respond to of 41369

Long term capital gains(holding for 12 mths min) is 15%(I think) Short term CG(hold less than 12 months) 28%??? Something like that. OT

To: DepyDog who wrote (7545)	3/22/1999 11:34:00 PM
From: Merlo	Respond to of 41369

Only if you sell at a profit..

To: DepyDog who wrote (7545)	3/22/1999 11:38:00 PM
From: Boplicity	Read Replies (1) \| Respond to of 41369

Yes the fed wants your money on capital gains (profit from the sale of stocks), but you have to sell the stock first before they get it. If you hold it longer then 12 months then you will pay less to them. The only way you can get away from paying taxes on capital gain after you sell your stock is to have a Roth IRA. I hate Roth IRA since I can't have one since I have no earn income, I have only capital gains. <gg> I would love to get my hands on a roth IRA. To find everything that you where afraid to ask about the IRS taking away our money hit the url below. irs.ustreas.gov Greg

To: DepyDog who wrote (7545)	3/23/1999 10:16:00 AM
From: MaryinRed	Read Replies (1) \| Respond to of 41369

Oversimplification and From a layman: so check with your CPA or IRS site Tax liability is based on the PROFIT you make which is the price you sold it at minus what you paid for it (including commissions, etc) the basis. The IRS will want to know the date you acquired the stock and the date you sold it, total paid, total received. If you make a profit, it is taxable, if you have a loss, it is deductible. There are timing issues: short term gains are if you held it less than a year, long term gains are if you hold an equity for over a year. IRA's are treated differently taxwise, in particular Roth IRA's. go to www.rothira.com for more info on that. Bottom line is with a regular IRA you get to defer the taxes and therefore have the total amount to reinvest within the account: with a Roth you pay the taxes before the money goes into the account, but later you draw it out tax free.. these are gross oversimplifications....but this is the essence of what you need to know to start asking questions based on your situation.