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"Allocation of long-term gain" section - what is: 28% rate gain?

Forum|Forum|6 years ago
February 29, 2020
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hi - I'm working on a trust tax return using the "business" and trust version of turbotax.

In the section "Allocation of long-term gain", there is a box for 2019 "28% rate gain".

I don't know If that's a question or what exactly they are asking for in that box. I've already stated the long-term capital gain amount given to beneficiaries. Is TT asking if some portion of the long-term capital gain will be taxed at 28%? I don't see any help available (am I missing something).

Thank you!

TurboTax Business Windows

Best answer by Anonymous_

@smishke wrote:
Is TT asking if some portion of the long-term capital gain will be taxed at 28%?

Yes, and it probably does not apply in your case if are not aware of the 28% rate (which is applicable to collectibles and taxable gain from section 1202 stock).

See https://www.irs.gov/taxtopics/tc409

A

Anonymous_Answer

Employee

@smishke wrote:
Is TT asking if some portion of the long-term capital gain will be taxed at 28%?

Yes, and it probably does not apply in your case if are not aware of the 28% rate (which is applicable to collectibles and taxable gain from section 1202 stock).

See https://www.irs.gov/taxtopics/tc409