topic Re: mutual funds in Get your taxes done using TurboTax

mutual funds

trickyricky — Mon, 22 Dec 2025 19:13:15 GMT

taking out money from mutual fund acct and then paying back in same year are there still tax penalties

Re: mutual funds

VolvoGirl — Mon, 22 Dec 2025 19:28:28 GMT

Penalties? Only if it is in a IRA account and you don't replace it within 60 days. For a regular account you might pay tax on it even if you put it back.

Re: mutual funds

rjs — Mon, 22 Dec 2025 22:39:06 GMT

What exactly do you mean by "taking out money"? If you sold shares of a mutual fund (other than a money market fund) in order to get money out, you have to report the sale on your tax return. You will get a Form 1099-B from the fund showing the sale. If you sold shares at a profit, you have to pay tax on the profit. It's not a penalty, it's regular income tax on the profit from the sale. You have to pay the tax, even if you later put the same amount of money back into the fund.