Re: question about filing taxes and investments



In article <ensgt7$2i3$1@xxxxxxxxxxxxxxxxx>
kamlet@xxxxxxxxx (Arthur Kamlet) wrote:

In article <20070108033206.8TtdW7ObDtbH@xxxxxxxxxxxxxxxx>,
Darren Weyans <D.Weyans@xxxxxxxxxxxxxxxxxxx> wrote:
I made a couple small investments over the year. I chose to
reinvest all dividends in my mutual funds. I got about $14 in
dividends from an ETF, which paid into my cash account in my
Scottrade account. While I never cashed anything in, my total
profits from mutual funds and stocks is less than $1000 for the
year.

My question is about filing taxes. I'm doing this myself for
the first time. Aside from my small investments, my job and tax
information is very simple (single, one job, renting). Does
holding stocks or mutual funds cause me to use a different form
or file differently? Thanks.


If your profit is because you actually sold shares of stock or a
mutual fund, you will file form 1040 and scheddule D. Schedule D
is where you report the sale and would show the dates buught and
sold and sales price and cost. You then calculate the gain or
loss as the sales price less the cost.


DIvidends are entered on Line 9a and if the form you receive, Form
1099DIV shows qualifying dividends, show them on line 9b.

Thanks for your reply. In 2006, I only bought and held. I did
no selling.
Based on this information, I should be okay to file a 1040EZ.
Thanks again.

.