Firms are now pitching low-cost tax-loss harvesting strategies long used by the wealthy to defer taxes. But critics warn it may not be suitable for every investor.
The decades-old practice known as tax-loss harvesting, or strategically taking investment losses to offset income, is a perfectly legal maneuver that doesn’t
so much dodge taxes as defer them. Delaying is valuable because investors earn a return while Uncle Sam waits to get paid. Digital advice firms are pitching...
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