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jtock23
New Member

Does it make tax sense to sell a portion of my vested stock options to pay debt or will this sale only create larger issues for taxes next year?

 
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4 Replies
HelenC12
Expert Alumni

Does it make tax sense to sell a portion of my vested stock options to pay debt or will this sale only create larger issues for taxes next year?

Yes, it depends how your stock sale will affect your tax return and if the benefit of the sale exceeds the debt and/or cost of having the debt.  You can use the 2022 TurboTax software to do a "what if" and get a good idea. Create a new TurboTax account and enter your 2022 income tax information. Then, enter the stock sale to see the tax ramifications.  

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RJH23
New Member

Does it make tax sense to sell a portion of my vested stock options to pay debt or will this sale only create larger issues for taxes next year?

Can I do a “what if” with the online version of my current account, or would I have to create a new account?

Does it make tax sense to sell a portion of my vested stock options to pay debt or will this sale only create larger issues for taxes next year?

@RJH23 

 

Online TurboTax does not have the "what if" feature.   That is only a feature of the CD/download software.  Do NOT mess with your own 2022 filed tax return that you prepared using online software or you will destroy it.    And...sorry.....it is too late to "start" a dummy 2022 return now.  The deadline for starting a new return using online TurboTax was on October 16.   Now you would have to wait for the 2023 online software to become available in late November/early December if you want to use online for any sort of "what if" scenarios.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Does it make tax sense to sell a portion of my vested stock options to pay debt or will this sale only create larger issues for taxes next year?

@RJH23 use this website to play "what if" 

 

https://www.dinkytown.net/java/1040-tax-calculator.html

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