QUALIFIED DIVIDENDS

I have a client with a huge income of QUALIFIED DIVIDENDS. Is it true this goes away this year? Will not be allowed for 09/ jg



No, the 15% max rate for qualified dividends and LT gains does not expire until the end of 2010. This also applies to the -0- rate for such income in the 15% or lower bracket.

That said, Congress could change this as early as next year depending on how the election plays out. Obama has indicated a desire to raise the rates but has not been specific regarding an income threshold.



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