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Old 04-21-2024, 01:18 PM   #119
opendoor
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Actually, probably a simpler way to think of it is just the break even point. I think it'd be at about a 40% gain in value? Anything above that and you'd save taxes by waiting and anything below that you'd save by realizing the gain now.

So if it's something you might only hold for a few years, it probably makes sense to crystallize the gain with the lower inclusion rate. But if it was something like an index fund you plan on holding for 15-20 years, then you'd almost surely come out ahead by waiting.

I'm no accountant, so there are probably other moving parts I'm not thinking about, but I think in general that'd be a good way to ballpark estimate it. And of course, this government is living on borrowed time, so it's quite plausible that the inclusion rate (or the corporate tax rate) will be lowered in the coming years.
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