Bond losses may offer investors a tax break. Here’s how tax-loss harvesting works

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U.S. Treasury yields on 10-year and 30-year bonds reached their highest levels in 24 years this week, causing bond prices to fall and leaving some investors with unrealized losses. These investors can sell their losing positions in taxable brokerage accounts to offset capital gains elsewhere in their portfolio. Net losses can also reduce ordinary income by up to 3,000 dollars per year (1,500 dollars for married filing separately), and unused losses can generally be carried forward. Investors must however avoid the wash-sale rule, which disallows a tax deduction if a substantially identical security is purchased within 30 days after the sale.

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Telemac
Telemachttp://cryptoinfo.ch
Passionné de nouvelles technologies, j’explore l’univers de la blockchain et des cryptomonnaies pour partager l’actualité et les innovations du secteur.

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