That gain is taxable, and you will have to include Schedule D on your 1040. As soon as you sell any stock, the broker will send the IRS a notice that you sold it. The IRS will then know to look for you to mention it on your taxes too.
If you held the stock for less than a year, it's a "short term gain" and counts as regular income on your taxes.
More than one year, and it's taxable at the long-term-capital-gains tax rate, which is currently only 15%.
That covers taxes. As far as the $150, that's too small to work with. E-trade charges $10 to make a purchase and another $10 to sell it later. If your stock goes up 10% (huge), E-trade keeps all the profit and then some.
Basically the capital gains tax of investors is that realized gains (profits when you sell) will be taxed at one of two rates, depending on the length of time the investment was held. Short-term gains tax (30%) applies to holds less than 12 months. Long-term gains tax (15%) applies to holds over 12 months.
Often if conditions permit, an investor will hold a stock a little longer to cross that 12-month line and cut his taxes in half. Not always wise, but sometimes can make a lot of difference.
Hello people i have interest to do stock marketing. I am 18 years old and i often follow stocks. I feel like i should start to gain experiences. For now i have 150$ To spend. I am begginer and for now i dont think about million dollars or thousand dollars but also i want to have little profit on stock marketing. My question is if i make profit , am i have to fill out any form for tax ? Or if i make any profit how much tax it will be on it ? And also should i be awere of any danger or anything before enter it. Thank you all
