Ihaveamodel3 t1_iuhiz9m wrote on October 31, 2022 at 11:42 AM

You don’t have any losses unless you sold.

If you did sell and lost $2000, then your income is reduced by $2000 which will likely reduce your tax by about $300. So your refund (not return, return is the piece of paper you file) would increase by $300 to $1300.

SignificantPen1325 OP t1_iuhklcc wrote on October 31, 2022 at 11:59 AM

Thank you!

fnbr t1_iuhn5pu wrote on October 31, 2022 at 12:24 PM

If you do this, make sure you don’t buy the same security within 30 days or it’s a “wash-loss” and you can’t dedicate the loss from your income.

justhere321 t1_iuho3yz wrote on October 31, 2022 at 12:33 PM

There’s also several websites that will help you find comparable funds to avoid wash sales. This looks like a good year for tax loss harvesting.