2 ms·
If you put in $50K, and it gained 10% your account would now have $55K. If you withdraw $2K, you could be taxed on the 10% profit on that $2K, so $200. So if yo
by konne88 5y ago
If you put in $50K, and it gained 10% your account would now have $55K. If you withdraw $2K, you could be taxed on the 10% profit on that $2K, so $200. So if your tax rate is 25%, you'd pay $50 in taxes because of that 2K withdraw.
- zie 5y agoYou are correct, but assuming the holding was < 1yr and STCG applied. If >1yr holding period, LTCG would apply. chances are it would only be a 15% tax rate in a LTCG applied tax. given current 2021 tax brackets. Even this is incomplete, because we don't know the other tax situations, was there a tax loss carryover that would/could be applied, etc, etc, etc. Taxes are complicated.