Most long-term capital gains are taxed at 15% for 2010.  This rate is scheduled to increase to 20% in 2011.  Unfortunately, we need to say “most” because there are some exceptions as follows:

• Taxpayers in the 10% and 15% ordinary bracket―0%
• Certain depreciation recapture on real estate—25%
• Collectibles—28% more…

The Bush era tax cuts are expiring.  Here are some of the key tax rates for 2010 and 2011:

2010                 2011

Ordinary Income                                   35%                 39.6%
Long Term Capital Gains                       15%                 20%
Qualifying Dividends                             15%                 39.6%
Estate Tax                                              0%                 55%

Unless Congress decides to do something different, we are stuck with these tax rates.  The numbers may need a little explanation. more…

The first half of the year is in the books.  It's time to take a look at your withholding and estimated tax payments.  Why is this important?  To avoid any potential penalty for underpayment of estimated taxes.  more…

Year-end tax planning could be especially productive this year because timely action can nail down a host of tax breaks that won't be around next year unless Congress acts to extend them. more…