Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[Davidzhao365]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

 

[Skryll]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Take it next year?

 

[Favguy]

Interesting I'm seeing many bears/pundits saying that since volume today was so high, it showed shorts could all cover in a single day and it wouldn't lead to much of a squeeze effect (if you don't think a $100 move up is much of an effect).

However what today represented was 40 million+ shares (A significant chunk of the float) being traded above $700, meaning all those new longs are going to require a much bigger price to let go of their shares to the shorts looking to cover.

All the weak longs are out is what I'm saying.

So by this logic, do you think we might see a continued squeeze for the next couple of days at least?

 

[Pezpunk]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

hold.

 

[joyhi]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Nothing you can do to be honest. You'd have to move to a lower income tax state, but last I checked, you have to be in the new state for a year before you're able to claim it as your new residence for tax purposes.

 

[mejojo]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Tax is good. It means you made money. Just like if you got a big raise.

 

[joyhi]

Davet's assessment of the reason behind this monster move. As a longtime long (holding through the Elon tweet fiasco, it resonates:

 

[dakh]

Okay, so many of us are "like Elon" in that we have some serious assets in TSLA. (AND, not to be a pill, but don't forget: what goes up might come down again . . . even if the long-term trend is upward.)

Question: how does one turn that into cash flow without actually selling any shares? I guess there's always covered calls, but are there any other avenues by which one can monetize a large portfolio without actually selling any of the shares?

We're decades-long holders of TSLA, but sometimes some cash flow is a good thing. There will likely never be dividends from TSLA as investing in new GF's (and mines!) is a far better way for Tesla to put any excess cash to work.

Thanks for any insights on this "problem."

Personally I'm not at all shy of straight up selling. If my position used to be 5x of my emergency fund and now its 50x, I feel ok to restore the cash balance back to 5x.

 

[dakh]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Donate stock, no tax on that for you. Weird but I ended up with mostly long term positions in my leaps, so cap gain tax only.

 

[Curt Renz]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Don't take all of the profit in one year. And each year only for cash that you really need.

 

[Fobble]

Personally I'm not at all shy of straight up selling. If my position used to be 5x of my emergency fund and now its 50x, I feel ok to restore the cash balance back to 5x.

Or sell some to cover your costs, and let the rest continue to run. Not an investment advice

 

[theschnell]

Doing everything they can to bring in new shorts.

Problem is, everybody who watches their show and believes their nonsense has already been short. So no new money to pull in because at this point they have no credibility.

Two hilarious comments.

1) “A rebate to short the stock” ?????
2) “Only 21 million shares short, so not a large short interest at this point” ?????

The only legit point they make is that the stock has gone parabolic. That is arguably true, but did all underwater shorts already capitulate? I think not, which means more margin calls coming in and more covering to follow.

 

[ZeApelido]

I am in California and I will need to pay 40% tax if I take profit this year. What is your situation? What can I do to reduce the tax? Thanks!

Wait a year. Move to Florida

 

[FrankSG]

Through my "broker" (I use that term loosely with Robinhood, hah).

Hm, I wonder if Interactive Brokers has a chart like this too. I didn't find one when I looked before.

 

[Dare]

This is a really good discussion

 

[Driver Dave]

All the dudes who missed it, now trying to act like they have any idea what they are talking about.

Go buy a Tesla. Figure it out. Get back to us.

 

[TheTalkingMule]

Wait a year. Move to Florida

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

 

[dakh]

Or sell some to cover your costs, and let the rest continue to run. Not an investment advice

That has been done what, two months ago, maybe 3? All pure unadulterated retirement grade profit from now on

 

[dakh]

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

I see you're worried about climate change and trying to stay afloat?

 

[StarFoxisDown!]

I think I'd rather see TSLA @ $10 than have to move to Florida. And I live in Philadelphia for god's sake.

People forget we have no state income tax up here in Washington state. PLUS you're as far away from Florida as possible(minus Alaska/Hawaii)