Re: Tax Penalty?
inkexit@xxxxxxxxx wrote:
Are there any tax penalties for THE AMOUNT of trades you do per year?
I was reading "Fear and Greed" and the author states that if one was to
follow the advice of any given firm that you would ened up paying more
in taxes. This is because you would end up selling and buying a lot
more often, or so the book says. Is this true at all? Or are taxes
strictly determined by net profit?
If you sell a lot of winners you'll have to pay taxes on those realized
gains. But I wouldn't say that that's the result of following the
advice of any given firm. I follow the advice of a firm that preaches
buy and hold.
.
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