After a little investigation by the media, Joe the Plumber made 40k last year and his boss makes 100k a year, if he buys the business, Joe wont make over 250k, (he admitted that himself). Overall, he would benefit more from Obamas plan (thats been investigated as well). Oh, and hes a registered republican.
Of course making a decision based only on tax implications is wrong but totally ignoring them is even worse. Tax implications are a huge part of investment decisions. It's one of the first things I look at when trying to determine structure and return. 20% return is much better at 15% tax rate than at 33%
sure we dont really know what obama's tax plan will be exactly, or mccain's for that matter, because they havent been implemented yet. im making assumptions based on how the federal income tax has been structured for a long time. it seems more ridiculous to assume that someone making $250k will pay $97,5 while someone making $249k will pay $82,170. if obama's tax plan taxes all income at one rate then it is unfair and i wont support it. it would probably even cause me to vote for nader. im not claiming a negligiblie tax hike on above $250k. its just negligible for what i would guess is a substantial % of those that make over $250k/yr. because if you make $275k/yr you'll pay 6% more on $25k=$1500. $1500 isnt nothing, but its damn close to it for someone making $275k---a whopping 1/2 of one percent
from edward jones http://www.edwardjones.com/en_US/resources/tax_center/brackets/2008/index.html Tax Brackets for 2008: Individuals Marginal Rate Married Jointly 10% 0 -16,050 15% 16,050 -65,100 25% 65,100-131,450 28% 131,450- 200,300 33% 200,300 - 357,700 35% over 357,700 using these brackets and the tax table from 1040 2008 married jointly shows the following tax % owed for these adjusted income levels 50k--13.4% 90k--17 250k-24.7 350k-27 i didnt know the highest tax rate was 35%. WAY TO GO W!
First of all, Obama has never stated what his cap gains will be except to say they won't be above 28%. He allegedly has not made his mind up on this yet. Secondly, I wasn't comparing Obama's plan to current numbers, I was actually comparing long term gains to short term gains in response to your statement that tax implications shouldn't affect investment decisions.
Breaking down the numbers Obama and McCain Tax Proposals According to a new analysis by the Tax Policy Center, Democrat Barack Obama and Republican John McCain are both proposing tax plans that would result in cuts for most American families. Obama's plan gives the biggest cuts to those who make the least, while McCain would give the largest cuts to the very wealthy. The Washington Post ........................MCCAIN.............OBAMA Income............Avg. tax bill.......Avg. tax bill Over $2.9M..........-$269,364..........+$701,885 $603K and up.......-$45,361...........+$115,974 $227K-$603K........-$7,871............+$12 $161K-$227K........-$4,380............-$2,789 $112K-$161K........-$2,614............-$2,204 $66K-$112K..........-$1,009............-$1,290 $38K-$66K...........-$319...............-$1,042 $19K-$38K...........-$113...............-$892 Under $19K..........-$19.................-$567 And don't forget: EXXON/MOBIL ......-$1.2 Billion........$0
Re: Breaking down the numbers I can't believe those bastards have the audacity to make money. I say we take it all. And while we're at it, let's take it all from every major corporation and give it to the little guy. God knows he's gonna need it when he loses his job.
