|
08-18-2021, 02:57 PM
|
|
Senior Member
|
Join Date: Dec 2017
Posts: 272
Thanks: 761
Thanked 67 Times in 49 Posts
|
|
Quote:
Originally Posted by FredJacobs
Sorry, gains from annuities are taxed as ordinary income not capital gains. If you have no other taxable income, your gain of $40,000 would be reduced by the standard deduction - $12,550 - leaving $27,450 as taxable income. The tax on $27,450 for a single person, under age 65, is roughly $3,000.
I am no longer licensed to give investment advice. From a tax standpoint and that you need income it might be a good idea to surrender the annuity and find a vehicle to provide some annual income.
Fred Jacobs
Expert Tax Prep
|
Where do you get a gain of $40000?
|