Guys, there’s a silver lining to the carnage that is going on.
“You’ll never have to pay capital gain tax ever again”.
Now if the government would re-classify the gain from 401k as “capital” gain then we are golden but that’s never going to happen. Please note, that 401k distribution is not considered capital gain so you can only write off $3k/year against your loss.
It would be so nice if the gain from 401k is considered capital gain and the principal is considered as income. That would be a massive tax break for the retiree and a chance to redeem all the trading mistakes in his/her younger years.
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