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					Originally Posted by btcarfagno  Anyone in a high tax bracket needs to know that the maximum tax on their profits is 28%. Not their regular tax rate. Plus self employment tax whatever your bracket it.
 Tom C
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 No, that is the long term capital gains rate on cards you sell as an investor if held for more than a year [see IRS Topic 409].  And there would be no self-employment tax on that form of capital gain because it is not active business income.  If you undertake a 'real' business and generate active income, whether via business entity filing its own return or Schedule C filing, you pay the regular marginal income tax rate and self-employment taxes but you can also take advantage of the full range of business deductions, like attending the National.  As long as you are profitable 3 of 5 years: if you run perpetual losses the IRS may treat your business as a hobby.