The sale of investments held for more than five years may result in qualified five-year capital gains. If you are in the 15 percent tax bracket (A range of incomes that are taxed at a specific marginal rate. ) , the maximum tax rate on qualified five-year capital gains is 8 percent, instead of the 10 percent capital gains tax rate on other long-term gains. If you are not in the 15 percent tax bracket, you will also get a reduced rate on qualified five-year capital gains on assets that you purchased after the year 2000. This means that taxpayers in brackets above 15 percent won't be able to take advantage of this rule until 2006.