Braden is in the 12% marginal tax bracket with, a taxable income of $36,000 for the year. In addition, Braden has a $500 long-term capital gain on bonds he sold this year. If the $500 were taxed as ordinary income, Braden would remain in the 12% rate bracket. Since it is a long-term capital gain on security sales, on this income. If the $500 gain was on collectibles, taxed at a maximum 28%, Braden would incur tax of $ Braden will pay tax of $ on this income.

Braden is in the 12% matginal tax bracket with a taxable income of $36.000 for the year in adcition, Braden has a 5500 iong term capital gain on bonds he sold this year. If the $500 were taxed as ordinary income, Braden would remain in the 12 rate bracket since it is a long-term capital gain on security safes, Braden will pay tax of 4 on this income. If the $500 gain was on collectibles, taxed at a maxmum 2as, Braden wovld incut tak of 3 on this ithceme