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Since a 401k Plan is a tax deferred vehicle, you do not have to pay any capital gains taxes on money you earn, nor can you claim a loss for any losses on the money you have invested in the plan.
You do however pay income taxes at the time of withdrawal from the plan.

If you have contributed $100,000 over the years, that is $100,000 that you have not had to pay Federal and State Income tax on. When you withdraw the money however, you will pay Federal and State taxes on the amount that is withdrawn.

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