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Author: GeoffreyHale Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121105  
Subject: taxes on stocks Date: 11/23/1999 8:55 PM
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I know this may sound stupid,but could somebody tell me,if I a hold stocks that make a profit but I don't sell them,am I still liable for taxes on the gains?I would appreciate your help. Many thanks ,Geoffrey hale.
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Author: hghcpa Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 21636 of 121105
Subject: Re: taxes on stocks Date: 11/23/1999 9:10 PM
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know this may sound stupid,but could somebody tell me,if I a hold stocks that make a profit but I don't sell them,am I still liable for taxes on the gains?I would appreciate your help. Many thanks ,Geoffrey hale.
==============

No


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Author: dcmalloy Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 21638 of 121105
Subject: Re: taxes on stocks Date: 11/23/1999 9:29 PM
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Hi Geoffrey,
You asked:
if I a hold stocks that make a profit but I don't sell them,am I still liable for taxes on the gains?

If you do not sell stocks that have gone up in value you have what is called unrealized gains and no tax is due. When you sell stocks for more than you paid (share price x #of shares + commission = cost basis) you have what is called realized gains and yes, the Tax-man er uh Tax-person cometh for thine bounty.

Cheers,
dc


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Author: TMFTaxes Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 21823 of 121105
Subject: Re: taxes on stocks Date: 11/26/1999 10:13 PM
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<<I know this may sound stupid,but could somebody tell me,if I a hold stocks that make a profit but I don't sell them,am I still liable for taxes on the gains?I would appreciate your help.>>

As you've already been told, you don't owe taxes on "paper" profits. You'll only pay taxes if and when you sell the shares and realize your gain.

It sounds like you are new to taxes and investing. That being the case, you'll really want to read my various posts on these issues in the Taxes FAQ area. Additionally, my new book is something that you might want to put on your reading list.

TMF Taxes
Roy
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