Taxes Headed Skyward

Sen. Barack Obama has said he’ll raise the tax rate on capital gains and qualified dividends to 20% for taxpayers with an adjusted gross income of $250,000 or more ($200,000 for single filers), ….For those in the higher tax brackets, “this might be a good time to realize those gains and pay your 15% tax rate because you might be paying a higher rate next year if you wait,” Siegel said.By the same token, it might be best to hold off on realizing losses unless you can carry them forward to next year because if the capital-gains rate does rise, your losses will be more valuable if they offset gains taxed at a higher rate. (read more)