I'm curious, can I still write off a loss surrounded by my taxes if I transfer money from one fund to another if it is at a loss minus actually selling the funds and next buying from the other. In other words what is the difference in expressions of taxes of the two scenarios:
1 Selling some of fund A (at a loss) afterwards buying and holding fund B
2 Transfering money from fund A (at the same loss) into fund B
appreciation
Answers: When you transfer money from one fund to another, you are technicly selling a portion of fund A to buy fund B. So contained by the eyes of the IRS you lost money on your fund A. You will receive a 1099 from your account institute that will show adjectives the info as how much you lost on which shares and whether it was long permanent status or short term.
The IRS doesn't charge if you're "transferring" funds to anywhere. All they care just about is;
What year were funds taken out?
How much?
Was it a loss or a gain... how much?
Needles to voice. it's a taxable event in the year that it happen.
1 Selling some of fund A (at a loss) afterwards buying and holding fund B
2 Transfering money from fund A (at the same loss) into fund B
appreciation
Answers: When you transfer money from one fund to another, you are technicly selling a portion of fund A to buy fund B. So contained by the eyes of the IRS you lost money on your fund A. You will receive a 1099 from your account institute that will show adjectives the info as how much you lost on which shares and whether it was long permanent status or short term.
The IRS doesn't charge if you're "transferring" funds to anywhere. All they care just about is;
What year were funds taken out?
How much?
Was it a loss or a gain... how much?
Needles to voice. it's a taxable event in the year that it happen.