No. of Recommendations: 4
Was thinking about selling some Jan 2027 covered calls against my position, but the cost basis is so low if the shares get called I'd have a large tax bill.
I had the same thinking last year about BRK-B.
How about this:
Sell the call(s).
A few days before expiration look to see if it there is a risk it will get called.
If so, buy enough BRK-B to satisfy the calls. Use margin if necessary.
Set it up so that your broker does LIFO on the shares. Or "highest basis/lowest tax".
If if gets called away you give up those shares which have little or no gain.
If it doesn't get called away, sell those shares. Again, little or no gain.
