Reply To: Taxation of dividends from a short sale

Home Fairmark Forum Taxation of Investments Taxation of dividends from a short sale Reply To: Taxation of dividends from a short sale

#6659
Lewis-H
Participant

Ordinarily, if you receive a dividend, it’s treated as investment income. … So long as you keep your short position open for longer than 45 days, then you’re allowed to deduct payments in lieu of dividends on short sales as investment interest.