Does the USA have a capital gains inclusion rate?
Here in Canada, if you sell a security and profit off it, only 50% of the gain is taxable.
Just wondering if the USA has anything similar to promote investments.
Well we have a different tax rate for long-term capital gains. It goes from 0% to 15% to 20% depending on your tax bracket.
>>1968271
Interesting, it seems like the math works out the same, but Canada is more willing to accept short-term investments while the US encourages long-term ones.
>>1968277
Yeah, short-term capital gains are taxed at your ordinary rate.
You're supposed to hodl.
No capital gains tax if you use a TFSA. You can deposit 5k/year and the contribution limit carries forward from 2009 (I think).
>>1968304
Yes but you can't claim capital loss or other expenses from trading like interest on margin