Browsing: capital gains tax

Q. We were discussing Thrift Savings Plan withdrawals at work, and one guy asked why the withdrawals weren’t taxed at two different rates. Part should be ordinary income, and part should be taxed at the capital gains rate. Is this correct? Is that how it is taxed at tax time? A. TSP withdrawals are considered to be entirely ordinary income for tax purposes.

Q: I am just about to retire from the FBI, where I’ve worked for 30 years. My parents left me a stock portfolio which dates back several decades. I would like, after retiring, to find and purchase a home using the stock portfolio, which is held in a trust my parents set up for me. I have never purchased a house, and I am wondering if there is any way to get around the capital gains taxes that probably would eat up huge chunks of the value of the stock portfolio once I liquidate most of the stocks to purchase…