Which of the following incomes are taxed at a lower rate?
A)Salary
B)Interest
C)Capital gains
D)Tips

Question

Quizplus · Accepted Answer

Capital gains are taxed at a lower rate compared to salary, interest, and tips. In the US, the maximum tax rate on long-term capital gains is 20%, while the maximum tax rate on ordinary income (including salary, interest, and tips) is 37%. However, the exact tax rate for capital gains depends on the filer's income and the length of time that the asset was held.

Which of the Following Incomes Are Taxed at a Lower