Long Term Capital Gains
I had a credit card my husband did not know about – in order to avoid the “new” interest on a credit card, I sold 100 shares of a stock purchased in 1998 in my brokerage account. My brokerage statement tells me that I have long term capital gains of $9,928.13, the redemption was $11,751.39. I’m trying to figure out what this will do to our 2023 taxes – our adjusted gross for 2022 was $64,380.00/total income was $84,000.00 and we haven’t changed anything. If I’ve put us in a weird tax position, I want to break it to my husband gently before we have our taxes done. Thank you! Please edit this if you use it on air, Please?
Terry Says
Haha == not sure if this will make it on air, though it is a cute story. I have good news and bad. If you’re married filing jointly, you won’t owe taxes on this long-term capital gain, as long as your income is under $89,250 in 2023. But if your gain brings you above that level, you’ll pay a 15% tax on the excess over $89,250.
And in either case, you’ll receive a 1099 tax form saying you have a capital gain, and that will have to be included in your joint return, so he WILL know that you sold some stock.
I don’t know which is more painful — having to pay a small additional amount of income tax — or revealing your secret stash!
In any case, good move to pay down that credit card debt. It would be even more costly~!
