RE:RE:RE:Tax ReasonsRight, but it still means paying 20.5% vs 16.5-that is an extra 24%. I would rather pay 16.5% in 2023 that 20.5% in 2024. I cannot earn enough on the 16.5% to cover the additional 4%.
Plus, people also get the sale proceeds 2 months sooner in your example.
I might add that if they announce before end of year, and does not close until 2024, people can choose on an individual basis whether they want to be taxed in 2023 or 2024, as it suits them.
They can wait until closing and be taxed in 2024, or they can take steps to "crystallize" gain to be taxed in 2023. In addition to the obvious step of selling shares on market, which entails some cost, they can trigger the gain by transferring to family member (even a spouse with proper election) or to a Holdco.
A nice problem to have.