The Motley Fool Discussion Boards
Financial Planning / Tax Strategies
|Subject: AMT and LTCG||Date: 3/6/2000 7:11 PM|
|Author: BigBooty||Number: 31050 of 123001|
Hey TMFTaxes and everybody else out there!
I lucked out and joined web startup about 18 months ago. I had ISO stock options, which I excercised in May. The company has since gone public and done really really well.
So, it's now early march. 2 more months and I've got long-term capitol gains. But that 1 stock is like 99% of my portfolio, so I've obviously got a lot of market risk.
My question is in regards to AMT. I live in California, and I know that State Income taxes will eat away at any AMT credit I get every year. Earning enough income to collect a signifigant ammount of the AMT would be really hard.
So, any money that I pay in AMT is probably down the drain. If we assume that is true, it seems to me there is no tax disadvantage to me selling a big chunk of stock now. For example: