Reducing Taxes on Capital Gains

I have just found the time to throughly study the income tax return form for 1988. The first thing that I discovered was that there is a 33% tax bracket that was not included in the estimated tax form that I used during the year. Next I learned that the 33% bracket applies only to taxable incomes between $71,900 and $149,250. Above $149,250 the tax rate goes back to 28% plus the loss of personal exemptions. It is an obvious concession to the very wealthy such as those people who are making hundreds of millions on leveraged buyouts.

On top of this our President wants to reduce the capital gains even further. All this while the economic conditions of low-income people continue to deteriorate. The tax schedule emphasizes that no matter how many “tax reforms” occur, the very wealthy retain their advantage.

GEORGE BILLIPS

Rolling Hills