I am tryign to figure out taxes and ETFs.
I get, personally I pay taxes on the distributions and if I sell with any capital gains.
But when i was looking up etfs there was an idea about the unrealized gains.
If I buy the ETF at NAV. then i have bought some "unrealized" gains that may have to pay taxes if those gains get realized.
I am trying to figure out how this would impact me.
like voo
it has 38% unrelaized gains.
So if i pay 15% taxes on gains. If vanguard for some reason realizes those gains. I would have to pay 15%or 38% of the purchase price or about 5% in taxes. so should i be discounting the price of ETFs to account for this if i buy ETFs in a taxable account?
Or is it safe to assume the laws will never change. Vanguard will never change. I never have to worry about purchasing ETFs with lots of un realized gains?
Submitted October 03, 2017 at 08:38AM by jkeller4000 http://ift.tt/2xcO9Iy