How Can Electing to Include Long-Term Capital Gains and Qualifying

question 67

Essay

How can electing to include long-term capital gains and qualifying dividends in the computation of net investment income be beneficial to taxpayers?

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Definitions:

Rock Formation

The process by which geological forces lead to the creation of rock structures, through mechanisms like cooling of magma, sedimentation, and metamorphism.

Lithosphere

Earth’s upper, rigid layer composed of the crust and uppermost mantle.

Continental Crust

The thick layer of granite, sedimentary, and metamorphic rocks that forms the continents and continental shelves, distinct from oceanic crust.

Oceanic Crust

A thin layer of Earth's crust that lies beneath the ocean basins, composed mainly of basalt.