Regarding Capital Gains Tax in U.S.:
I am retired, and my only income is what I think is called "passive", e.g. RMDs, dividends, interest, and realized capital gains. My understanding is that if my ("regular"? "ordinary"?) income is under about $40K, I can then take long-term capital gains at a zero tax rate. Is that generally correct?
Some notes:
With regard to my brokerage accounts, pretty much all of my dividends and interest are reinvested.
If I understand correctly, absent any realized capital gains (long or short), my ("regular"? "ordinary"?) income then consists of my RMDs, interest generated from savings accounts, and any/all "qualified" dividends even if automatically reinvested.
My question, for simplicity's sake, ignores any loss harvesting in the same year.
