In July 2014, Hillary sells a stamp from her stamp collection at a gain of $500. Hillary purchased the stamp in 2010. If Hillary is in the 25% marginal tax rate bracket and has no other capital asset sales in 2014, what is her tax on the sale of the stamp?

Question

Quizplus · Accepted Answer

The stamp is a collectible, subject to a maximum 28% long-term capital gains tax rate. $500 gain x 25% = $125 tax.

In July 2014, Hillary Sells a Stamp from Her Stamp