topic Will I be taxed for the full amount or gains in this scenario? I received what was left in a UTMA account from my parents after college. I sold the remaining funds. in After you file

Will I be taxed for the full amount or gains in this scenario? I received what was left in a UTMA account from my parents after college. I sold the remaining funds.

parts-per-mill — Mon, 09 Nov 2020 15:51:55 GMT

Re: Will I be taxed for the full amount or gains in this scenario? I received what was left in a UTMA account from my parents after college. I sold the remaining funds.

rjs — Mon, 09 Nov 2020 16:10:46 GMT

You will be taxed on the gain from when the investments were originally purchased until you sold them. The investments in the UTMA account actually belonged to you all along. Your parent was just the custodian, managing the funds on your behalf. So the tax will be the same as if you had bought the investments yourself (if you had been old enough).

Re: Will I be taxed for the full amount or gains in this scenario? I received what was left in a UTMA account from my parents after college. I sold the remaining funds.

Critter-3 — Mon, 09 Nov 2020 16:13:47 GMT

You pay taxes on the capital gains and any earnings the account makes during the year. The consolidated 1099 you get from the broker each February will show these items.

Re: Will I be taxed for the full amount or gains in this scenario? I received what was left in a UTMA account from my parents after college. I sold the remaining funds.

parts-per-mill — Mon, 09 Nov 2020 18:17:33 GMT

Thank you!