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Kiplinger
Kiplinger
Business
Charles Lewis Sizemore, CFA

How Selling a Losing Stock Position Can Lower Your Tax Bill

Digital image of gold coins with dollar signs being balanced on top of a blue, tan and red wooden circle.

With the end of the year upon us, let's talk about tax-loss harvesting. This is potentially one of the most important tax moves investors can make this calendar year.

Given that we're in the middle of a bull market, this might seem an odd time to discuss portfolio losses. But, if you're like most investors, you probably have a few dogs in your lineup. About 27% of the stocks in the S&P 500 are down this year, with more than 50 staring at losses of 20% or more.

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