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Financial Planning / Tax Strategies


Subject:  Re: Taxes on Profits Date:  8/30/2013  12:58 AM
Author:  irasmilo Number:  119102 of 127546

I'm not sure if this is the right place to ask this question. I'd like to know if there is a way to minimize taxes on profits if I sell stock in a standard taxable account? The only reason I want to sell it is to put the funds in my ROTH. The stocks have done really well but they have become ripe and I can put the money to better use. I'd like to work my non-taxed account but I don't know the best way to get it from one to the other without being taxed on the profits. Is this possible?

No, it's not possible. However, I wonder what all your concern is about. The most you can contribute to your Roth IRA is $5,500 in 2013 ($6,500 if you're 50+). The tax on a $5,500 sale would be assessed on the gain, which would have to be less than $5,500. With long-term capital gains rates of 15% (or 0%), you're looking at no more than $800 in tax, and probably much less.

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