Not exact matches
Speaking at the Sohn
Investment Conference in New York, the closely - watched DoubleLine
Capital LP chief executive officer recommended a trade of shorting, or betting
against, Facebook while betting on
gains in an exchange - traded fund that tracks oil and gas explorers and producers who could benefit from rising inflation.
If you sell it for less than your inherited basis, the result is a
capital loss, which you can use as a tax write - off
against other
investment gains or other income.
Complementing traditional
investments, Ross points out that real estate is less volatile (unlike stocks, it's not marked to market every day); provides diversification with a favorable balance of risk versus return; is favorably taxed via
capital gains tax treatment and interest deductibility; generates returns similar to the stock market and «often more»; provides principal protection; a hedge
against inflation and a pension - like «monthly coupon.»
For example: If you had made a short term
capital loss on Stocks and have a Long term
capital gain on Sale of House property in a Financial Year, you can set - off losses on Stock
investment against gains on Property.
I suppose an argument
against that would be that since
capital gains are not taxable until it is realized, the gov» t might not want to give a tax break for an
investment that might not result in any payable taxes for a long time.
For example: If you make
capital loss on stock
investment, you can set - off this loss
against capital gains on sale of property (if any).
If you're sitting on unrealized
capital losses in
investments in taxable accounts, you may want to consider selling shares before the end of the year to realize the loss and apply it
against realized
capital gains in other
investments (including mutual funds, which are expected to make sizable distributions this year).
If you sell an
investment at a
capital loss, you can claim that loss
against other
capital gains for the year; or if you have none, you can carry the loss back up to three years to offset other net
capital gains reported on your previous income tax returns; or you can carry forward the loss to claim
against future
capital gains.
Based on these sources, claiming rental losses
against other incomes in a given year is allowed as long as a profit is made over the life of the
investment, excluding the effects of
capital gains.
Why do we still have taxes that discourage
investment, i.e. tax on
capital gains, the inability to write off the cost of borrowing monies
against our personal income, or to write off mortgage interest on our private residence?