Are there any tax implications when closing a Vanguard brokerage account and investing the funds in cryptocurrencies?

1 answers

• May 08, 2022 · 3 years ago
  Closing a Vanguard brokerage account and investing the funds in cryptocurrencies can have tax implications. The sale of investments in the brokerage account may trigger capital gains tax, which is calculated based on the difference between the purchase and selling price of the investments. If the investments were held for less than a year, they may be subject to short-term capital gains tax. When investing in cryptocurrencies, any gains made from selling the cryptocurrencies may also be subject to capital gains tax. It's important to keep track of the purchase and selling prices of the cryptocurrencies to accurately calculate the gains. It's advisable to consult with a tax professional to understand the specific tax implications based on individual circumstances.
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