One of the more confusing tax forms for investments is form 1099-B. Tax lingo is part of the cause. It’s like a foreign language at first sight. The tax code, and changes to it, cause the rest. It’s up to you to decipher what the 1099-B says.
Brokers and fund companies send form 1099-B when you buy or sell an investment, like shares of a mutual fund or stock. The form is a record of those transactions. When you plug the information into a Schedule D, you and the IRS can figure out your capital gains or losses for the tax year.
Of course, you owe taxes on capital gains, either short or long-term capital gains tax, based on how long you owned the investment. However, capital losses are used to offset gains or income and lower your tax bill. Continue Reading…
There are many investments that offer tax advantages to investors. 
Have you ever picked a number and doubled it over and over again until you can’t do the math in your head? The magic of compounding drives the numbers so high, so fast. Of course, this works with money too, just at a slightly slower pace. It’s called compound interest and it’s one thing all of us can take advantage of now no matter how investment savvy you are.