Dan, different from Danny saying, I’ve got some stock that is considered a long term hold and there’s some of the same stock that’s considered short. Is there a way to select to sell the long term holds of the stock but not the short infidelity? What do you think? Yeah. So I think what Dan’s getting at here is he’s got these stocks in a taxable account and if he sells them, he’s going to have a gain, and he’s going to have to pay some capital gains tax on, on those positions.
So there is a difference in the tax if you’ve. Depending on how long that you’ve held the share. So it looks like he’s bought some of the shares in the last year, and he hasn’t owned those quite a year.
If he sells those, he’s going to be subject to short term capital gains, which is taxed at whatever your marginal tax bracket is. So if you’re in the 22% tax bracket, that gain is going to be taxed at 22%. If you hold shares for longer than one year, then you’re only subject to the long term capital gains, which could be as low as 0%.
If you’re in the 12% tax bracket, all the way up to 20%, for most people it’s probably 15%. So you can. There is a way.
And you’ll wanna check with your brokerage platform to see how you designate how you tell the system which shares that you want to sell. And you would sell the long term shares because it’s going to put you at a better tax rate to do that.
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