Another way to justify the lower rate is that it is capital gains is money that was made by investing money that has already been taxed at the income tax rate.
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Originally Posted by Vteckidd
MOST capital gains is money that has already been taxed at your income bracket fyi
Sure, which is why only the "gains" are taxed, not the whole investment. If your stock prices rises from $100 to $120, you only pay taxes on the $20 gain. There is no double taxation going on.