Folks, I have highly appreciated stock that is nearly 40% of my portfolio. Is there any way to exchange that stock with index funds without tax hit?
As soon as you sell to exchange it will be a capital gain (or loss). No way around that. If you want to avoid the tax hit, you can donate appreciated stock and claim the market value as a tax deductible donation.
This has always been weird to me. When you do this you still come off worse than if you just paid the tax. Charitable donation is a deduction and not a credit. Am I missing something?
It totally depends on your tax situation. As an example if you're going to be bumped up into the next tax bracket or will get into AMT territory, you can reduce your taxable income by donating appreciated assets and thereby get under that threshold. This of course assumes you've exhausted all other taxable deductions (e.g. 401k, HSA, etc).
Work Visa
Yesterday
6337
Last h1 attempt
Software Engineering Career
2d
6379
Funny how the interviewer appeared like God
India
Yesterday
1501
Slavery has REVERSED! the US is the slave!!! Check out this dude who pays a personal trainer in India
Tech Industry
Yesterday
710
Best LCOL or MCOL city?
Tech Industry
Yesterday
885
Do you really think Amazon is that bad
Not unless you’ve got some other capital loss you can take to offset. (Eg one of your alt coins is down 40%. You can sell and re-buy, Resetting your basis and then you can offset your gains on the stock with the loss in alt-coins.
Yeah, wait 30 days or buy a different coin or love to eth for 30 days
Has the IRS established precedent that buying a different coin would avoid wash sale? Rules are fuzzy even with traditional assets. I suppose you could just do it and claim ignorance if you get audited.