Sell All Of My Shares ?

Q: My Capital Gain Distribution gets re-invested but this amount didn't show up as total net investment. Why ? If I would have cash that money out and not re-invest and do telephone investment of the same amount then this will show up as my total net investment. I am little confused here and missing something. Will I be paying taxes again on the Capital Gain Distribution when I sell all of my shares ? Thanks in advance for clarifing this for me.

A: >My Capital Gain Distribution gets re-invested but this amount >didn't show up as total net investment. Why ? Sounds as if the fund manager has something wrong in the way they show the figures, or you're not reading the figures right. In any case, you should have enough information to calculate them correctly yourself. >I am little confused here and missing something. Will I be >paying taxes again on the Capital Gain Distribution when I >sell all of my shares ? No. When you sell shares the fund manager will report the sales price, but not the cost basis. You calculate that yourself. The fund manager would be nice if they calculate it for you, and if they do it correctly, but you should be able to do the arithmetic yourself, if necesssary.

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