I am going to use the exercise and sell option from Fidelity Investment's online service. Before I execute the transaction it tells me that all taxes, fees, and commissions are included in the estimate that they give me and that the money will be put into my Fidelity account. What I want to know is, besides the check writing fee, when I write a check to myself from this account am I going to be charged with more taxes and fees?
2006-07-22 07:27:56 · 2 answers · asked by AY0116 1 in Business & Finance ➔ Investing
That is unlikely, but something you should ask your agent at Fidelity.
However, I doubt that the taxes that Fidelity mention relate to your income taxes -- it is probably more like a tax on the transaction. You will still have to declare any capital gains on your tax returns.
2006-07-22 07:50:53 · answer #1 · answered by Ranto 7 · 0⤊ 0⤋
I don't think so, but if you don't have enough in cash or money market to cover the check, they could possibly bounce the check, or force sale of investments to cover the check.
Definitely a good question for your brokerage agreement. It's the weekend right now, so try the website.
2006-07-22 19:22:24 · answer #2 · answered by Polymath 5 · 0⤊ 0⤋