
Zero Percent Rate Gains
Zero Percent Rate Gains refer to a situation where certain capital gains—profits from selling investments like stocks or real estate—are taxed at a 0% rate for individuals within specific income brackets. This means if your income is below a certain threshold, you can sell your investments and pay no federal capital gains tax on the profits. This provision encourages investment among lower-to-middle-income earners, allowing them to benefit from market gains without the burden of taxes, making it an effective tool for wealth building. Always check current income thresholds, as they may change.