Any tax loss harvesting strategies you want to share? Recommend stocks that could go big either direction.

I had a fairly huge long-term capital gain this year due to an M&A. The tax hit is going to be pretty huge, because this places me quite a bit over the 20% bracket.

I'm thinking if I do some strategic tax loss harvesting this year, I can reduce my upfront (and overall) tax bill.

Basically, I was thinking I could try to invest the money into a diverse basket of individual stocks -- I'm thinking stuff that could go big either way up or down. Whenever any incurs a significant loss I'll sell to lock in the loss and move into something else. Stocks that have significant gains I'll keep for at least a year. I'm hoping by doing this my overall average stock market gains for 2018 will roughly keep up with the market, while keeping gains unrealized and losses realized. Come 2019 I'll be comfortably back within the 15% bracket.

Any problems with this idea?

Do you guys have recommendations for stocks that could go big in either direction this year? I've already got a bunch of tech and Chinese investments that I think fit the bill. I'm hesitant with clinical trial biotech/penny stock stuff, since the risk skew is so intense.

Submitted April 24, 2018 at 05:42PM by Viridian_Hawk https://ift.tt/2FetUct