I got a 1099-B form from USAA showing I had liquidated $15000 on 3-19-2016. TurboTax is showing this as taxable event
The tax exempt dividend paid by the fund is not taxable but any capital gain if you sell shares is a taxable event.
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It is a taxable event. On (as example) tax free bonds, the interest is tax free. The gain on sale is not.
