Some taxpayers, the Administration notes, will find that their capital gains rate is actually cut by the legislation.

The top capital gains rates would remain fixed at 28 percent.

Then, any gain above that value would be taxed at the much lower capital gains rate of 15 percent.

So does a cut in the capital gains rate.

This year's tax cut reduced the capital gains rate further, to 15 percent.

The long-term capital gains rate is 20 percent, he said.

For property held longer than that, the top capital gains rate is 20 percent.

Cost: $32 billion, including the corporate capital gains rate cut described below.

On taking office last year, he proposed a top capital gains rate of 15 percent.

If sold next November, after it has been held for 12 months, the capital gains rate would be 15.4 percent.

Some taxpayers, the Administration notes, will find that their capital gains rate is actually cut by the legislation.

Then, any gain above that value would be taxed at the much lower capital gains rate of 15 percent.

So does a cut in the capital gains rate.

This year's tax cut reduced the capital gains rate further, to 15 percent.

The long-term capital gains rate is 20 percent, he said.

For property held longer than that, the top capital gains rate is 20 percent.

Cost: $32 billion, including the corporate capital gains rate cut described below.

On taking office last year, he proposed a top capital gains rate of 15 percent.

If sold next November, after it has been held for 12 months, the capital gains rate would be 15.4 percent.

The 1986 reform struck an elegant deal, and the key was killing the capital gains rate.