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Author: DolonAltekar Three stars, 500 posts SC1 Red Motley Fool One Everlasting Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121061  
Subject: Re: Portfolio rebalancing and tax consequences Date: 7/7/2011 3:41 PM
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There are worse things than paying taxes. One of them is not having the income to pay the taxes upon.

Truer words have never been spoken.

First of all, moving into a higher tax bracket doesn't move all your income into that bracket, just the amount over the bracket.

Second, Would you rather pay some taxes, or be out of balance in your portfolio and then have the risks you are worried about come to pass?

I think it's important to consider taxes, but don't let the fact that you have to pay them make you take outsized risks with your money.

Another question: do you have some other positions that are losers that you can sell to offset the gains?

D.
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