[quote=AN]With 28% rate, for a married couple making $230,450 or a single person making $189,300, there would be no point in keep stocks for a year for long term cap gain anymore. I wonder if this will drive up volume and volatility. At the very least those W2-er who participate in ESPP, there would be no reason to keep it for a year anymore.[/quote]

The long-term captain gains tax rate is 20% if and only if your ordinary income tax rate is at 39.6%. The proposed rule change does not apply to the example you described.