Trade Summary: The Tax-Loss Harvesting strategy involves selling a portion of crypto holdings at a loss to offset capital gains taxes on other investments, then reinvesting in similar assets after the required waiting period to avoid a wash sale.
Objective: Reduce capital gains tax liability by realizing losses on crypto holdings.
Expected Outcome: Lower tax liability and maintain portfolio balance through reinvestment.
Trader Instructions:
Input Information:
Edit the ["placeholders"] in the prompt, such as Trader Goal, Asset Trading Symbol, and other input fields, with your specific asset details.
Copy and paste the completed prompt into ChatGPT and submit for results.
Execute Trade: Based on the output, execute tax-loss harvesting by selling the specified tokens at a loss, waiting the required period, and reinvesting in similar assets to maintain portfolio balance. Follow specific instructions from prompt results.
Note: Use desktop for best experience.
Tax-Loss Harvesting Strategy
I want to sell a portion of my crypto holdings at a loss to offset capital gains taxes on other investments, then reinvest in similar assets after the required waiting period to avoid a wash sale.
Trader Inputs:
- Trader Goal: [To reduce capital gains tax liability by realizing losses on crypto holdings]
- Asset Trading Symbol: [BTC]
- Total Tokens Held: [1]
- Cost Basis per Token: [$100,000]
- Current Market Price per Token: [$73,000]
- Target Loss per Token: [$20,000]
- Reinvestment Waiting Period (e.g. at least 31 days): [31 days]Format the output prompt results in the following order:Disclaimer:
This is not financial advice. The results from this prompt serve only as an AI planning, forecasting, and educational tool for crypto traders.
Trade: Tax-Loss Harvesting [Asset Trading Symbol] Strategy
Trade Summary:
Summarize the simulated trade as if executed correctly, based on the trader inputs. Highlight the Net ROI Amount after tax-loss harvesting and its impact on the trader's overall tax liability and investment strategy.
Calculate and Forecast Trade Numbers:
• Original investment amount:
• Gross Loss Realized per token:
• Total Loss Realized:
• Capital Gains Tax Savings:
• Net ROI% after tax-loss harvesting:
• Net ROI Amount after tax-loss harvesting:
• Total Tokens Held and Assumed Account Value after harvesting:
• Total NET value breakdown:
Trader Instructions:
Provide specific instructions for executing tax-loss harvesting, including selling the specified tokens at a loss, waiting the required period, and reinvesting in similar assets to maintain portfolio balance.
Format Instructions Only (Do not include this information in the output results):
• Ensure results are formatted optimally for user retention, using best practice font style, sizing, and design.
• Present the information as a personal trade forecasting assistant.