I understand that if you have a taxable income in the 15% bracket or below, then your long term capital gains tax rate is 0% so long as your capital gains don’t then push you into the next tax bracket (essentially accounted as income but not taxed as income). I also understand that realized capital losses can counteract realized capital gains for your net taxable capital gains (tax loss harvesting). My question, though, is do these realized capital losses also counteract your movement into a higher income tax bracket from the realized capital gains being added on to your taxable income to determine your long term capital gains tax rate? I suppose it’s possible that this is irrelevant if the capital gains are taxed first before adjusting income tax bracket from capital losses. Sorry about the long post, but I’m pretty confused while trying to piece together how all of these taxes work.
Submitted November 22, 2017 at 10:35AM by barchueetadonai http://ift.tt/2B3OoTJ
