Ask the Taxman- How do long term capital gains affect tax brackets? Can long-term capital gains push you into a higher tax bracket?
Source: Quora
Answer:
Long-term capital gains, while taxed at a maximum rate of either 15% or 20%, depending on the level of income. Long-term capital gains are also part of the Adjusted Gross Income (AGI) and can effect allowable deductions, credits, as well as bracket creep.
Requested by Larry Boyer