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Need help with cap gains taxes
Posted on 5/11/25 at 12:43 am
Posted on 5/11/25 at 12:43 am
I may have made a mistake but at this point the damage is done. Earlier this year I sold some of my etfs and will owe approx $8k in long term capital gains taxes. Do I need to mail in a quarterly tax payment on these gains or is it ok to wait to deal with it during tax season? I typically get refunds in the 8k range so it’ll end up being a wash with my refund. Are there any moves I can reduce this tax before tax time this year. I sold a portion of my holdings to payoff my house. I know it doesn’t make financial sense but it’s what I wanted to do and the damage is done.
Posted on 5/11/25 at 12:54 am to Redstickbaw
You can likely hold off on the payment until tax time next year but don’t have enough info to confirm that.
Excluding your 8k in cap gains taxes, will you have 100% of your 2024 total tax liability (110% if your 2024 AGI was over 150k) paid into the IRS through federal withholding on your W2 wages, quarterly estimated taxes or any other withholding?
If so, you are likely fine.
Honestly, you should consult with a tax professional and have them look at your total tax picture to get a specific answer.
Excluding your 8k in cap gains taxes, will you have 100% of your 2024 total tax liability (110% if your 2024 AGI was over 150k) paid into the IRS through federal withholding on your W2 wages, quarterly estimated taxes or any other withholding?
If so, you are likely fine.
Honestly, you should consult with a tax professional and have them look at your total tax picture to get a specific answer.
Posted on 5/11/25 at 12:33 pm to Redstickbaw
quote:
Are there any moves I can reduce this tax before tax time this year.
Do you have any unrealized losses? Harvesting those losses can offset the gains.
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