Non Retirement fund tax advice

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    Non Retirement fund tax advice

    Is there a tax penalty or rate on a Capitol Appreciatoin Fund A if I decide to withdraw thw money

     
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    Re: Non Retirement fund tax advice

    In response to packy's comment:
    Is there a tax penalty or rate on a Capitol Appreciatoin Fund A if I decide to withdraw thw money

    Dear packy:

    As these are mutual fund shares held outside of a retirement account, there is no early withdrawal penalty charged for taxes.  Any sales will generate a capital gain or loss.  You will be required to report the sale on your return for the year the sale occurs.  The mutual fund may charge a fee,  depending on the type of shares you hold.  The terms relating to the "A" shares you say you hold are set by the issuing company, but "A" shares usually charge a fee when you buy the shares, a management fee while you are holding shares and no fees when you sell out.  Other types of shares may charge no fee on entry, a larger fee while you hold for managing the investments and a fee on selling the shares.

    Hope this helps in preparing your returns!

    Mark H. Misselbeck, C.P.A., M.S.T., Tax Principal

    Katz, Nannis + Solomon, P.C.

     

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