Discussion:Last day for Capital Gains / Loss
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| 7 November 2009 | |
| Is a capital gain long or short term if the sale is on the same day, 1 year later? For example, May 22 2007 to May 22 2008?
Capital Gains: Short-Term-one year or less Long-Term-more than one year It more than one year if it goes by full days, but one year or less if it is my the same hour in the day. My guess is it is long term, but I cannot find any confirmation of my belief. | |
| 7 November 2009 | |
| I don't think I've ever heard of looking at the hour in the day. 5/22/07 to 5/22/08 is exactly one year = long term reporting.
5/22/07 to 5/21/08 is one day short and gives you short term reporting. | |
Death&Taxes (talk|edits) said: | 7 November 2009 |
| Don't you exclude the day of acquisition? It's not clear in the example given by Zanger if the date of purchase was May 22. | |
| 8 November 2009 | |
| You are right - you'd have to sell 5/23/08 to get long term treatment. | |
| 8 November 2009 | |
| 365 days from is from May 22 2007 to May 22 2008.
Schedule D Instructions: "long-term capital gains and losses is more than 1 year" "short-term capital gains and losses is 1 year or less." So May 22 2007 to May 22 2008 is one year, so it would be one year or less making it short term. That said, does anyone know if there is any tax court decisions that speaks to this? I can't find any authority that speaks to this. | |
| 9 November 2009 | |
| "I can't find any authority that speaks to this."
ยง1222 is the authority. | |
| 9 November 2009 | |
| Actually Zanger 5/22/07 to 5/22/08 would be 1 year and 1 day if you are permitted to count the first day (5/22/07) which threw me off. One full year would be 5/22/07 to 5/21/08. I looked at the IRS Pub and refreshed myself that you cannot count the first day when the purchase was made. | |
