For her a giddy and excited about Trumps tax plan.

[debbiedowner]

Received this in my email from ameritrade/scottrade today.

So how many of you are going to get screwed? Besides me.

Dear Valued Client,



TD Ameritrade believes it's important to stand on the side of our clients. We have reviewed the Senate Tax Cuts and Jobs Act, which was released last week. Section 13533 of the Senate Bill imposes a single cost basis methodology for investors, "first in, first out" ("FIFO"), on all sales of securities (except mutual funds).


For the average investor, this means possibly being required to pay the highest capital gains taxes where a stock has appreciated over time.

On behalf of our approximately 11 million client accounts, we strongly oppose this provision. We believe it will harm individual investors by eliminating their freedom to decide when to take losses or gains on their investments, potentially resulting in an increased tax burden.

An Example

Suppose you hold a significant amount of a company's stock, accumulated over a 20-year career. You're now retired, and you want to sell some company stock to diversify your portfolio. Assume the purchases over time range from $5 per share up to $90 per share, but the stock now is trading at $50.

If you sell at $50, rather than being able to take losses on the stock purchased above $50, the Senate Bill could require you to pay capital gains taxes on the appreciation of the stock from $5 to $50. That is, even if you have experienced sizeable paper losses on the purchases above $50, the Senate Bill might force you to pay taxes calculated on the largest gains possible.

We don't think that's fair. We feel the Senate should stand up on behalf of individual investors and reject imposing a FIFO cost basis requirement on sales of securities.

What Can You Do?



If you are concerned about these changes, we encourage you to contact your congressional representatives today and make your voice heard. We have created a site so that individual investors like you can stay informed and easily reach out to your government representatives on issues that matter to you. You'll find a summary of current issues there, along with template letters to help get you started.

TD Ameritrade believes in providing our clients with a voice on issues that stand to impact their ability to confidently save, invest, and plan for the future. We are on the frontlines, communicating your interests to those who can influence policy and bring about change.

By coming together, we can have a more meaningful impact. Please join the conversation.

So tried to edit title, screen keeps jumping around while typing. But is it is suppose to say For All who are.

 

[Shrimpbox]

An awful lot of mights, potentially, and coulds. Might I suggest that this might hurt their whales more,than the average person so they might be trying to mobilize the little guys on behalf of their big guys. I hope William the Wie weighs in.

 

[Norman]

Stock goes from 5 to 50. You pay taxes on the 45 dollar appreciation.

This is unfair... well of course it is as taxes are theft. But other than that sounds as fair as you can make it.

 

[Sunni Man]

If my hero Trump says the tax plan is good for the country and good for me.

That's all I need to know......

 

[Missouri_Mike]

An Example

Suppose you hold a significant amount of a company's stock, accumulated over a 20-year career. You're now retired, and you want to sell some company stock to diversify your portfolio. Assume the purchases over time range from $5 per share up to $90 per share, but the stock now is trading at $50.

If you sell at $50, rather than being able to take losses on the stock purchased above $50, the Senate Bill could require you to pay capital gains taxes on the appreciation of the stock from $5 to $50. That is, even if you have experienced sizeable paper losses on the purchases above $50, the Senate Bill might force you to pay taxes calculated on the largest gains possible.

As someone who hates government and thinks our tax system is bullshit I don't see the problem here. Not all investments pay off. In the end you made money though so it seems fair. I'm not sure what a significant amount of stock would be but again it would depend on when you bought it. If you bought 90% of it at the 5-10 dollar level you're fine. If you bought it all at the 90 dollar level you're fucked. But in that case wouldn't you be taking that loss anyway? There would be no profit to tax.