Fidelity tax estimate?
I use a lot of fidelity for my brokerage account, crypto, short and long plays. This year has been particularly good and I don't want to be caught by surprise next April. How do we check the amount of taxes we owed, both short and long gains. I am also going to dump some losses if needed for this year. I see the closed position tab has value but not the taxes #personalfinance #investments
Fidelity doesn't show you your taxes...Short term capital gains are taxed as ordinary income up to 37% whereas long term is taxed up to 20%. Given all the variables like your annual income/tax bracket, deductions, etc, Fidelity isn't going to calculate any of your taxes. All you need to do is look the length of time to determine short or long term capital gain and then can estimate by transaction. I think you can export an excel as well. I typically do a mid year estimate using the previous year's turbo tax numbers - it isn't perfect but it gives me half a year to make adjustments. In years where I needed more help, I asked my CPA.
It actually shows me short term and long term as separate. I was just thinking it would show 20% and 37% of that amount. Thanks
There is also a catch that your tax gains/losses may be different from accounting ones (e.g. wash sale)
The ones posted in closed position have taken care of wash sales(I think)
Do you do lots of short term buy sell thru fidelity? Even i am doing same