Search found 153 matches
- Tue Jan 21, 2025 12:48 pm
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
I mean it's up to you because it's your money but I don't understand this extreme allergic reaction to capital gains. Whether you sell it now or sell it in the future you still incur capital gains unless you lost money on the investment. Ask yourself this, what do you gain by selling your shares no...
- Tue Jan 21, 2025 12:44 pm
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
If that is correct, and considering that my thought of selling shares of the investment is because of family-need, I should probably sell the entire investment to avoid needing to pay additional capital gains on the remainder of the shares, if I so need to sell again soon. Would this be a prudent w...
- Tue Jan 21, 2025 5:40 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
It's now 67 shares for 100,500 which is different from 100 shares for 100k. The capital gains is much higher than 500. [/quote] Thinking about this, would it be better to sell the entire lot of shares, rather than only shares that cover the gains? If I understand you correctly: If I sell shares to ...
- Mon Jan 20, 2025 8:05 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
You cannot sell the gains. You can only sell your investments. If you are selling them for more than you bought them for, you pay capital gains tax on any gain. [/quote] I understand -- I am not selling "gains", I am selling shares. And it's the difference in value of those shares from th...
- Mon Jan 20, 2025 6:51 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
It's now 67 shares for 100,500 which is different from 100 shares for 100k. The capital gains is much higher than 500. Your share price increased. You cannot prepay the capital gain so you owe nothing in the future. The only way to do that is just sell everything now, pay all the capital gains on i...
- Mon Jan 20, 2025 6:13 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
What she said is true but is simplified to the point of causing you confusion about how this works. When you make an investment, you buy shares. When you cash out of your investment, you sell shares. So in the simplest case let's say you've purchased one share for 100,000. Later the value of one sh...
- Mon Jan 20, 2025 3:33 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
I asked my accountant in Tokyo, definitively, what will incur Capital Gains tax on the sale of an entire investment. Here is what she wrote back with: You do not pay tax on the initial investment on the gain, so if you bought shares for 100,000 yen and sold everything for 150,000 yen you would pay t...
- Sun Jan 19, 2025 2:52 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
And only on the Capital Gain on the Units you sell when you sell them. The remaining units you keep also retain their unrealised Capital gain that will only be realised and subject to Capital Gains Tax when those units are sold... So, to re-use the example you gave above: Say you purchase 200 units...
- Sun Jan 19, 2025 1:00 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
Say you purchase 200 units at 500 each = 100,000 Each unit goes up to 505 Now 200 Units x 505 = 101,000 If you sell some units Capital Gain Per Unit = Sale Price of 505 - Purchase Price of 500 = 5 Total Capital Gain = Number of Units Sold x (Sale Price of 505 - Purchase Price of 500) So if you sell...
- Sat Jan 18, 2025 8:49 am
- Forum: RetireJapan for Dummies
- Topic: Principal investment/gains separated when selling?
- Replies: 41
- Views: 20287
Re: Principal investment/gains separated when selling?
But, if I initially purchased at 500 for the initial investment, sell all of the gains at 750 (leaving me with exactly the same amount as the initial investment), if I then sell the initial investment at 750, would that also be applicable to cap gains tax? I think I'm confusing myself. There is no ...