Tax Loss Selling 2008
Each year, whether bull or bear market there are opportunities to crystallize losses for tax purposes in non-registered accounts. Needless to say, the list of potential candidates this year is extensive.
Five brief months ago, the TSX Composite Index was at a record high. In 20 weeks, the market has lost nearly half its value; an unprecedented move in unprecedented times. Of the 241 companies in the TSX Composite Index, 126 have seen their share price decline more than 40% since the beginning of the year. Almost 180 companies in the S&P 500 have seen their share prices decline by a similar amount. As the calendar year-end approaches, it is timely to review portfolios in an effort to identify the positions currently trading at a loss that may be sold to take advantage of the tax benefits.