What do I need to know about taxes, capital gains tax and donations to goodwill?

Answer by  Att4372 (1704)

Economically productive capital (stocks, bonds, real estate) is taxed at rates below ordinary income. If you normally pay 15% or less, realized gains held for more than one year have NO tax. Otherwise, the tax rate is 15%. Other assets (collectibles) are taxed as ordinary income. If you donate to Goodwill, you deduct the gift's value from your income.

Answer by  nkhill (73)

Taxes need to be filed by April 15th each year. Federal Capital Gains carry varied tax rates depending on whether they are short term or long term. Non-Cash donations need to be substantiated with receipts and the FMV can be by Appraisal, Thrift Shop Value, Catalog or Comparable Sales.

Answer by  Kristine (145)

Capital gains are reported on Schedule D for 1040 Anyone with capital gains or losses should consult IRS publications 550,544 and 523. Topics 701, and 703. Taxes is a broad term and the exact source of the tax should be noted. Goodwill can be an asset

Answer by  amtcura66 (1340)

You need to know that taxes are added on tot he cost of things so the things you purchase actually cost more than you anticipated. You will also be taxed if you shop at goodwill but you may receive a tax thing if you list that you donated to goodwill.

Answer by  TOM10309 (149)

Taxes are generally on all world wide income. Capital gains tax is on investment income and is realized at time of sale and based on length of time property is held. Donations to goodwill are deductible if onej is itemizing deductions on Schedule A.