Tax-loss harvesting is a strategy used by investors to minimize their tax liability by selling investments that have decreased in value and realizing losses.

Knowing the difference between short-term and long-term capital gains is important for tax planning and can lead to significant tax savings, as long-term capital gains are usually taxed at a lower rate than short-term capital gains in most countries.

Understanding the basics of taxes, including the different types and tax brackets, is essential for individuals to make informed financial decisions and ensure that they are meeting their obligations to the government.