I have some money in mutual funds and I am about to sell my house. When I sell my house, the proceeds will be tax free. It will be more than enough to remodel the home I will be moving to. But if I depend upon this money, then I can't start the remodeling until the current house sells. On the other hand, if I cashed in these investments I could begin the work now. I don't know how to decide whether to withdraw the money and start now or wait until the sale to start.
2007-07-05 05:51:40 · 3 answers · asked by plezurgui 6 in Business & Finance ➔ Taxes ➔ United States
Are you kidding? IF Democrats take the Presidency AND keep control over the Congress, we will see the largest tax increase in history. There is next to zero chance of the tax rate going down and into the 90 percentile of it going UP.
2007-07-05 06:08:09 · update #1
I guess this means that no one on Y/A knows how to figure the tax increase caused by expiration of the tax breaks on capital gains taxes.
2007-07-05 11:54:20 · update #2
I don't know what is going to happen, but I got a good laugh!
Who EVER heard of a democrat LOWERING taxes?! No one. No such animal. The taxes in this country are going to get out of hand and it is the middle class that will suffer. The democrats want the middle class LOWERED to make things all "fair".
The tax increase is not 90% certain. 100%, and anyone with half a brain will be sitting pretty, RETIRED by then, bacuse no one is going to gain during that time frame. Things will be ugly for awhile.
2007-07-05 06:56:26 · answer #1 · answered by Landlord 7 · 0⤊ 0⤋
If you cash in the mutual funds you'll pay capital gains taxes on any gain realized. What may or may not happen in 2010 has no impact on this at all today.
To be honest, you shouldn't make any hard and fast tax plans based upon what current law says will happen in 2010. It's a virtual certainty that much of the automatic changes currently scheduled for 2010 will be changed by Congress over the next few years.
Addendum: While tax increases are likely after the 2008 general election the ones who have to worry are the wealthy. If the Dems keep their promises and maintain control of Congress and the White House -- virtual certainties unless something REALLY drastic happens -- they will reduce taxes somewhat on the poor and middle class but really sock it to the ultra-wealthy. Most of the giveaways by the current administration will be rolled back in a New York minute.
The only thing worse than a "Tax & Spend Democrat" is a "Borrow & Spend Republican."
2007-07-05 06:01:29 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋
Things will likely change before then. This is legislative risk.
2007-07-05 05:56:20 · answer #3 · answered by aaron p 5 · 0⤊ 0⤋