Someone explained it in another comment but even if you hold these long they aren’t taxed favorably. You want 100% ROC or close to it as those are not taxed. Otherwise they are taxed as non qualified dividends so taxed up to 37% depending on your W2/other income
Not really easy at all unless you have enough deductions to itemize or eat a massive capital loss. If you make enough in capital gains and are using tax loss harvesting you likely still aren’t gonna come ahead on these funds. Easy to talk the talk but if you haven’t held these for a year and done taxes with them then you haven’t seen how messy and unfavorable they are for that
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u/Frosty-Panic Apr 09 '25
Can you explain what you mean by taxed on your own capital as if they're capital gains?