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If all of my income is from investment profits (long-term stocks) & not W-2 or 1099. How will my income tax calculated by IRS?
For example, a $100k AGI will result in 24% vs 15% income tax rate?
I meant 1099-NEC income, sorry!
- Anonymous1 month ago
Long-term capital gains are taxed at a lower rate than ordinary income. Long-term capital gains tax rates are 0% (up to 40k), 15% (40k to 441k) or 20% (more than 441k). That is for a single person.
Not sure why you think your broker won't issue you a 1099 for your stock sales. Well, I guess that would be true if you were withdrawing from a retirement account, but then we wouldn't be discussing capital gains tax.
Type "capital gains calculator" into your favorite web browser, enter your filing status and let it do the math for you.