James Chen, CMT is an expert trader, investment adviser, and global market strategist. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, and has a degree in accounting and ...

People invest with the hope of earning a return over time. But what happens when you choose to sell? Cost basis is key to understanding your tax obligations and the true profit of your investments.

Fortunately, calculating your cost basis is much simpler than this. Photo: Bryan Alexander, Flickr If you want to calculate how much you've gained or lost on an investment, you'll need to know your ...

Chad Langager is a co-founder of Second Summit Ventures. He started as an intern at Investopedia.com, eventually leaving for the startup scene. Katrina Ávila Munichiello is an experienced editor, ...

The tax calculations required for cryptocurrency investments heighten your return’s complexity, and often lead taxpayers to make mistakes during the filing process. For crypto users who use multiple ...

The biggest hurdle that investors face is paying tax on the gains on their long-term investments. Yet the tax laws actually give heirs a huge tax break when they inherit shares of stock or other ...

The cost basis of an investment or asset is the amount of the initial investment, or the original purchase price. It's an important number in tax planning for individual investors, business owners, ...

Buy low and sell high is one of the most fundamental rules of stock investing. Knowing the cost basis of the stocks you purchase can help you estimate your potential profit should you decide to sell.

Q. I have an inherited IRA from my grandmother. I receive small Required Minimum Distributions (RMDs) annually since she passed in 2008. What is the cost basis of an inherited IRA for New Jersey? I ...

Q. I have an inherited IRA from my grandmother. I receive small Required Minimum Distributions (RMDs) annually since she passed in 2008. What is the cost basis of an inherited IRA for New Jersey? I ...

If you want to calculate how much you've gained or lost on an investment, you'll need to know your cost basis. It's important for your tax records, too. Let's run through a very simple example.