4 ms·

You aren't covering losses, you're failing to tax gains that didn't materialize. If I fail to get a job, you don't tax me for the income from a job I might have

by syrrim 4y ago

You aren't covering losses, you're failing to tax gains that didn't materialize. If I fail to get a job, you don't tax me for the income from a job I might have had. This is true even if my reason for not getting the job is really stupid.

ac29 4y ago
This isnt right because capital losses count against capital gains. So, taking a loss allows you to not pay taxes on an equal amount of gains that you would've been taxed on otherwise.
- syrrim 4y ago
  Overall you gained nothing though.
- afiori 4y ago
  If I give you a million dollar and then steal it back a day later, I feel like you should not pay taxes on it. Same thing if I give you a million dollar, you buy expensive X thing but the seller goes bankrupt and never delivers anything.
cbsmith 4y ago
> If I fail to get a job, you don't tax me for the income from a job I might have had. Yet.
RC_ITR 4y ago
Everyone here is confused. You only ever got to write off you cost basis but you cannot if the cost is stolen.