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2

Is there ever a situation where a mortgage makes more financial sense where the mortgage deduction could lessen the bite of that capital gains tax? The mortgage deduction is a case of the tax tail wagging the investing dog. My 3.5% mortgage nets at 2.73% after federal tax deduction. In effect, this is a 'discount' of .77% on the cost of my mortgage. Tiny ...


3

Other answers focus on optimizing the total profit of the investments against the cost of the mortgage. There is another aspect to consider: cash flow security. What happens if your income drops for a while? If you have a mortgage and some mutual funds, you can just keep paying your expenses from the funds. If you have neither of these, you'll need to find a ...


6

Since all the sales are in the same tax year, you're fine Crypto-"currencies" don't tax like recognized currencies, just regular securities like stocks. Capital gains are taxable when you sell the stock/security. Likewise, capital losses are only created when you sell. So if you sell this year, your gains and your losses happen inside the same tax ...


3

How can I go about estimating what my tax burden will be? Figure out your cost basis. That's basically how much you paid for your shares including re-investment. Your brokerage should give you the cost basis for each of your funds. With a good broker, you can access this online. The difference between the current price and the cost basis is your capital ...


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This decision boils down to 3 factors: interest rate of your mortgage expected return of your funds for the next 10, 15, 20 years transaction cost and taxes If you expect the stock market to perform better (after costs and taxes) than the interest on your mortgage, do not liquidate anything. On the other hand, with current P/E ratios of the stock market ...


6

One aspect to keep in mind might be the leverage resp. the opportunity cost of selling your funds now. If you think that you can make a higher profit (percentwise) than the interest rate of your mortgage would be, and you can afford the monthly mortgage payments even if your investments take a dip, it may be more adviseable to take the mortage. This gives ...


6

It really is not that complicated to figure the tax on capital gains. For assets that you have held longer than a year, you pay taxes at the long term capital gains tax. Now, despite having held the funds for longer than 10 years, not all gains could be considered long term. Recent dividends and capital gains; and contributions, that occurred less than a ...


46

In the U.S., gains from cryptocurrency trading are taxed just like trading stocks: as capital gains. Capital gains are only taxed when they are realized. At this time, you have realized a $40,000 gain, but you have not realized a loss. If you do not sell your new position before the end of the year, you will be taxed on the $40,000 gain. (Note: your gain is $...


3

If there is only one type of capital loss being carried over, it can be used to offset the current year capital loss regardless of it is for a short term or long term capital loss. And if the loss is significant, one can also deduct a maximum loss of $3,000. The overriding decision should be that if you no longer have any confidence in CRAP, it should be ...


1

Yes, IRS rules regarding options are vague and unclear. Often, even the experts aren't sure what the tax implications are. The rule is that if the stock is owned for less than one year and a protective put is purchased, the stock's holding period resets. If owned for more than one year then the stock's gain or loss is considered long-term regardless of ...


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This article says that a gold ETF is fine in an IRA. Thankfully, the IRS had said that IRAs can buy shares in precious metal ETFs that are classified as grantor investment trusts without any such problems. Specifically, in Private Letter Ruling (PLR) 200732026, the IRS ruled that IRAs could buy shares in a gold ETF. This was apparently the SPDR Gold Trust ...


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Follows the rules for basic rate taxpayer. I have struggled to see this spelt out under normal Government web site. What applies is actually specified in the Taxation of Chargeable Gains Act 1992 (as amended) under Part I section 1I subsection 2 which doesn't distinguish zero income, income within personal allowance and income within basic rate band. See ...


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