market.news — Markets without borders
Portfolio

Tax-Loss Harvesting

Selling losing investments to offset capital gains and reduce tax bill.

In depth

Up to $3,000 of losses can offset ordinary income annually in US (excess carries forward). Robo-advisors automate harvesting. Must avoid wash-sale rule by waiting 31 days or buying similar (not "substantially identical") security.

Related terms

Looking for more financial terms?

Browse Full Glossary →