Hey Forum Dwellers,
I had a (I think) quick question about capital gains and losses.
Circumstances: I have some capital gains this year (LTCGs and Dividends [mostly qualified]), and I am currently within the 15% tax bracket. I was listening to an end of year episode of a podcast that talked about considering tax loss harvesting if it made sense. I wanted to know if any losses this year would be applied as a counterbalance to my gains (thereby having no effect on my tax bill) or is it applied to my taxable income (thereby cutting my tax bill by 15% of the amount of the loss)?
Thanks in advance!