In response to:

Capital Gains Taxes

EARLNORL Wrote: Oct 05, 2012 8:51 AM
You made a mistake. I believe you are refering to the Congress (Senate and Hiouse) from 2006-2010 which was totally Democratic. Since 2010 the Congress has been stalemated which has been a good thing.

One of the many false talking points of the Obama administration is that a rich man like Warren Buffett should not be paying a lower tax rate than his secretary. But anyone whose earnings come from capital gains usually pays a lower tax rate.

How are capital gains different from ordinary income?

Ordinary income is usually guaranteed. If you work a certain amount of time, you are legally entitled to the pay that you were offered when you took the job. Capital gains involve risk. They are not guaranteed. You can invest your money and lose it all. Moreover, the year...