I bought two mutual funds in my general investment account, 3000 each in March 2006,
By May, mutual fund A valued $3200, I transfered $3000 into my Roth IRA
In November, I transfered mutual fund B worth 3300 for another mutual fund.
Do I have to pay tax on these? Thanks
2006-11-20 07:29:27 · 4 answers · asked by jean 4 in Business & Finance ➔ Investing
Doesn't sound like you sold them, so I don't beleive you'll have to pay ataxes. The other good news is that once in your retirement account, you can sell them and pay no taxes. Congrats.
2006-11-20 07:38:21 · answer #1 · answered by longformdocs 2 · 0⤊ 0⤋
On fund A, if you specifically identify the shares you would have sold the original shares and you would not have a gain or loss.
ON fund B you would be treated as havingsold Fund B to invest in fund C. Bsed on your dates you will have a $300 short term capital gain. There is no tax free reinvestment for mutual funds.
2006-11-20 16:12:06 · answer #2 · answered by waggy_33 6 · 1⤊ 0⤋
You need to pay taxes on the interest and capital gain (of stocks bought and sold within the portfolio). The mutual fund will send you a 1099 at the end of the year outlining your gains and interest.
2006-11-20 15:38:36 · answer #3 · answered by Wanderer 4 · 0⤊ 0⤋
YES to ALL. Sucks, but that's how it is. let's see, you dont give any per share data so i can actually calculate your gains. Send me an email if you want help.
2006-11-20 20:00:04 · answer #4 · answered by hgary06 3 · 0⤊ 0⤋