Re: Novice tax question
- From: seafh@xxxxxxx
- Date: 12 Jan 2006 05:06:33 -0800
While we are talking about mutual fund gain tax, I am wondering why
most mutual funds want to distribute most gains regularly and resulted
in tax for the owners? If it is the law, I have known some funds that
don't do that regularly. I mean, if the owners want distribution, they
can always withdraw some shares and they can withdraw the right amount
that they wanted, right?
I have heard that index funds (say S&P500) do not distribute most gains
regularly, is that true?
Thank you again for your responses.
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