Caitlin, a client of yours since you opened your practice, has become very intrigued by investing in the stock market. She has interest-bearing securities and dividend-paying stocks. She also owns U.S. Securities. She is considering selling $500,000 in stocks. She does not know if she should sell the additional stock for a loss to help offset the stock sale of $500,000. Caitlin called you to ask what tax consequences the interest and dividends will have along with the stock sale.

• What tax advice would you offer to Caitlin in planning for this situation?