Market Losses Can Reduce Your Tax Bill for Years. Here’s How.

This year’s market mayhem could shave your tax bill for years to come.

With just weeks to go, 2022 is poised for steep negative annual returns in both stocks and bonds, a correlated collapse that has occurred only twice since 1926—in 1931 and 1969. So far, stocks are down by 22% and bonds by 15%, and adding to this year’s drubbing is a more-than 50% decline in the values of major cryptocurrencies.