If Biden continues to gain ground over President Donald Trump there could be a surge in tax-related trading in the run-up to the election, according to Columbia Threadneedle Investments.
Biden plans to roll-back Trump tax breaks, tax income differently above a certain level and tax capital gains at the ordinary income tax rate. Is Biden 'foregone conclusion' for Presidency or unlikely 'fuddy duddy'? "The more convinced you are that Biden will win, the more you should be preparing to realise investment gains in 2020 rather than 2021, when you could pay a higher price in taxes," said Colin Moore, global chief investment officer at Columbia Threadneedle Investments. "Depending on the rules, it may be better to preserve losses for 2021 instead of automatically netting ...
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