SECTION UPDATE
rate of 49.54%; whereas now, under ATRA, that person is
subject to a wealth transfer tax rate of 50%, an income tax
rate of 32.7% on dividends and long-term capital gains,
and an ordinary income tax rate of 52.3%. To illustrate the
importance of the individual’s state of residence in “New
Paradigm” tax planning, Paul noted that if this individual
resides in California the shift in importance to income taxes
is even more pronounced because the wealth transfer tax
rate