I am reporting qualified dividends from some stocks this year, which I believe I will be taxed on. Am I then taxed on the same money when I sell the shares under the capital gains tax? Is that being taxed on the same income gain?
In: 3
Sometimes this confusion comes from when dividends are reinvested which you can do with stocks and mutual funds. But the reinvested dividends will raise your cost basis which is usually tracked by your custodian. So no, you won’t be taxed twice.
Latest Answers