I know that the long term capital gains tax rate is 20% for individuals in the US, but what is it for companies? If a company is selling a certain assets (let's say, a machine), would it also pay the 20% rate?
Sorry this isn't a great question, I'm not an American and I just need a quick confirmation on this for a report I'm writing. Thank you so much guys!
| +311 | UBS Tech MD hires Son (from no-name college) as an Intern | 53 | 18h |
| +89 | [Official] 2026 IB Analyst Bonus Megathread (with 2025 Consolidated Pay and Perks/Benefits) | 12 | 22h |
| +52 | Is DCM actually underrated ? | 18 | 5h |
| +46 | Are all Tech / TMT groups sweaty? | 31 | 5h |
| +41 | UBS Groups Ranked by Future Outlook | 20 | 4d |
| +40 | JPM M&A is Gone??? Purely Coverage Banking??? | 20 | 5h |
| +37 | Am I behind? 31 Year Old Analyst | 10 | 8h |
| +32 | UVA McIntire vs Cornell Dyson for IB | 19 | 3d |
| +32 | Losing my personality in Banking | 5 | 20h |
| +31 | Incoming IB Analyst: Best Ways to Prepare? | 8 | 20h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
I believe it's the same, but depreciation may reduce/eliminate any tax gains.
Thank you so much!
Its 21% or the current corporate tax rate. No preferential capital gains rate for corporations at the moment
With LTCG rate proposed to go up to nearly 40%, how do you see that affecting companies?
Dunno. Is a change in the corporate capital gains rate on the table? Seems unlikely to me that they'd make the corporate capital gains rate higher than the current corporate rate
I was reading into the Biden tax plan, apparently they wanna raise LTCG rate to 39.6%.
https://www.forbes.com/sites/taxnotes/2021/02/16/biden-wants-to-reform-…
To be honest, IG my main question is, when a company sells an asset, what tax does it pay on the asset? Regular corp income or CG?
There is no preferential treatment for capital gains for corporations at the moment. What you're looking at is reform to the personal income tax preference on LTCG. Corporations pay 21% on all income from whatever source derived. Again, don't know a lot about the tax reform bill thats on the table, but it seems highly unlikely that they would raise corporate tax on just LTCG
Sed ratione incidunt voluptate aut. Id sit neque consequatur et et et.
Et quos repellendus illo accusamus aut. At officiis laboriosam aut neque sunt. Natus repellat repellendus ut aut. Quidem quia et eveniet repudiandae officiis. Cum facilis reiciendis deleniti laudantium autem eveniet. Porro maxime dolorum aperiam cum facilis est. Placeat sit tempora omnis quibusdam.
Quo harum ut enim temporibus rerum quia eos. Aut magni ad voluptatem mollitia quas qui. Vel impedit laborum saepe quas aut ratione asperiores. Quisquam aut odio aut rerum ad voluptas est.
Fuga culpa corporis ab repudiandae libero. Sed perferendis dolorem sint cumque minus pariatur quisquam. Quasi deserunt eos est impedit. Odit sit dolorem non ut id quod. Et quo quia occaecati aliquam. Officia cupiditate sit alias ab illo.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...