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emc011075, Tax adviser
Category: Tax
Satisfied Customers: 3121
Experience:  IRS licensed Enrolled Agent and tax instructor
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Ten years ago I was gifted 1400 share of stock with a basis

Customer Question

Ten years ago I was gifted 1400 share of stock with a basis of $35 per share. The stock is now trading at $115 and I want to sell all of the shares. I am a NY resident. What is the tax amount should I sell the shares. Thanks
Submitted: 1 year ago.
Category: Tax
Expert:  emc011075 replied 1 year ago.
Hi. My name is ***** ***** I will be happy to help you. You are looking at 112K of capital gains. To estimate your tax liability I need to know your total income and your filing status.
Customer: replied 1 year ago.
W2 income is $300000 ish. Married with three kids. Reside in NY
Customer: replied 1 year ago.
$112000@ 15% ? My email is***@******.***. Got a early morning. Thanks in advance.
Expert:  emc011075 replied 1 year ago.
Ok. Even with the additional income you are still in 33% tax bracket, which means your capital gains will be taxed at 15% plus there's 3.8% tax on net investment income over certain amount. But the higher AGI will reduce your exemption amounts (18K less deduction) and trigger alternative minimum tax of 5K (more tax). The capital gains will increase your federal balance by $28900 and NY state balance by $7300
Customer: replied 1 year ago.
Thank you.
Expert:  emc011075 replied 1 year ago.
You're welcome. Is there anything else I can help you with today? Anyway, thank you for your positive rating. If you have any further questions about this topic you can return to this post and I will be more than happy to answer them. To assist you with a different question, just look me up or use the link bellow to post your questions.