Question: For this year, Wilma is a single individual whose taxable income puts her into the 33% bracket. Wilma's taxable income includes so much long-term capital
For this year, Wilma is a single individual whose taxable income puts her into the 33% bracket. Wilma's taxable income includes so much long-term capital gain that her ordinary taxable income is not large enough to get her out of the 15% bracket.
| a. |
All of Wilma's long-term capital gain will be taxed at 15%.
| |
| b. |
Some of Wilma's long-term capital gain will be taxed at 33%.
| |
| c. |
Some of Wilma's long-term capital gain will be taxed at 0% as long as the gain is not taxed at the special rates for certain 1250 real estate or collectibles.
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| d. |
Wilma is not eligible for the alternative tax on long-term capital gains.
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| e. |
None of the above.
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