Tax Reform Act 1976 shifts long term gains rules for 1977
The Tax Reform Act of 1976 lengthens the holding period for long-term capital gains to nine months effective Jan 1 1977. Investors with losses on stocks bought between April 3 and June 30 1976 may realize short-term losses in 1977. The act also raises the maximum capital loss against ordinary income to 2000 in 1977 and to 3000 in 1978.