Triple leveraged drawdown selling rule

[ChadR]

(04-27-2021, 02:41 PM)ken-do-nim Wrote: Exactly.  So gosh, $8000 short term cap gains + $3000 at least in dividends this year = $11,000 I have to pay full taxes for, x .35 = $3,850 in taxes.  I usually get a $2k refund so this will put me in the hole as is.  Yeah, doesn't look like I get to sell any company stock this year.  And I probably need to start reading up on Estimated Tax Payments.

If the dividends are qualified, you get the LTCG rate instead of the marginal rate.  Tax bill might not be as high as you are thinking.  Check to see how much of your $3k of dividends are qualified dividends.