Question about long term capital gains

kdeck2004 said: "I understand that you qualify for long term cap gains tax if you hold a stock after 366 days, but I have a question if you buy the same stock at different times. Say, for example, you bought 100 shares of a stock on Oct. 1st, 2005, then bought 100 more of the same stock on Nov. 1st, 2005. So now you own 200 shares of this stock, bought at two different times. Let's now say that you want to sell 150 shares of these 200 shares on Oct. 3rd, 2006. How do you itemize that on your tax form for that year? Do you have to list 100 of those shares being under long term cap gains, and the other 50 as short term? The reason I ask is bc I have a mutual fund that I invest in periodically, and want to know how to file for taxes if I decide to sell shares at various times over the next 5 years. Thanks in advance!"

thezster said: "When you file your taxes you will have to note when you bought the stock and when you sold it. Those funds from long term gains will be taxed at 15% - those funds from short term gains at regular tax rates for your return."

kdeck2004 said: "Yeah, I know that. I also know from a post from someone earlier, either on this site or another site about this subject that you put down 'Various' in the Buy Date column for stocks you have bought at more than one time, I presume. I just don't understand how long or short term can be determined if you put down 'Various'. If I am wrong about the 'Various' part and you have to put every single transaction down, how do you list it if you sell 100 shares of a stock, where say 20 shares qualify for long term tax, and the other 80 for short term (meaning of course, you bought the 20 shares over a year ago, and the 80 shares less than a year ago). I guess basically what I am saying is that if you have a ton of stock bought at different times, how do you itemize it to determine how much each is taxed at if you sell at once?"

thezster said: "I have it easy... I can put "various" down as all my gains as short term. The only time I would have to identify specific dates would be when I wanted to differentiate between long and short term gains. Your dilemma is one that makes accountants happy. They sift through the transactions and identify the short term/long term gains... and charge you accordingly. If the amounts are insignificant - I would just identify them all as short term gains - to save aggrevation and paperwork. Sometimes it's just not worth the effort."

jazzteliano said: "Un inversor español acaba de llegar a este foro. ;) Saludos a todos y happy cristmas. ;)"

thezster said: "Hola y Bienvenidos. Prospero 2006"

jazzteliano said: "¿Eres español?. Saludos y suerte en vuestras decisiones. ;)"

thezster said: "[QUOTE=jazzteliano]¿Eres español?. Saludos y suerte en vuestras decisiones. ;)[/QUOTE] No... :D Un gringo de Tejas que habla un poco de Espanol."