Taxes on RSU's sold and personal trading loss

srinivkr · ‎December 16, 2020

Hello,

I have sold some of my RSU's this year, example 90000$. In that 80000 is short-term and remaining is long-term. RSU's stocks are in one stock broker (Say, Fidelity).

And as part of my personal trading, I have around 55000$ loss. All of them are short-term. This is with another stock brocker (Say, Robinhood).

Now, when I file my taxes in next march - april, how does the taxing work ? My loss in personal trading will it get added with gains in RSU sales and in total I will have 35000$ gains, for which I will have to pay tax ? Or for the 55000 loss, do I have to claim 3000$ every year?

Can someone help me to know about this, I really appreciate this.

Critter-3 · ‎December 16, 2020

ALL cap gains /losses from ALL sources are netted together on the form 8949 & Sch D. If your result is a loss then up to $3000 of cap loss can be taken against ordinary income and the rest is carried forward.

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Anonymous · ‎December 16, 2020

is the 90K the proceeds or the gain? RSU's have basis. if it gains you will have $25K of income taxed as ordinary income and $10K taxed as long-term capital gains

NCperson · ‎December 16, 2020

based on the example numbers you provided, the short term numbers are netted against each other, so that is $25,000 of net short term gain (net the $80k and the $55k together) and then there is the $10,000 long term gain.

there are no 'carry over' losses so the $3,000 loss limit does not have any impact in this situation.

srinivkr · ‎December 17, 2020

I think you are right.. it looks like it is proceeds :(

Taxes on RSU's sold and personal trading loss

Investors & landlords

Investors & landlords

Investors & landlords

Investors & landlords