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Selling shares and taxes - Newbie question

Discussion in 'TSLA Investor Discussions' started by rdalcanto, Oct 5, 2013.

  1. rdalcanto

    rdalcanto Member

    Joined:
    May 8, 2013
    Messages:
    663
    Location:
    Salt Lake City
    I have bought TSLA shares 6 different times, starting at 50, using my Wells Fargo Brokerage account. Latest purchase was after the dip on Thursday - 250 shares around 172. If I want to sell 250 shares in December at 200, I understand I pay taxes on the profits. My question is, how do I sell the new shares that have had less profit (and will have less taxes), then the shares I bought in May, which have had much more growth and will be subject to higher taxes? Is there a way to do this, or does it just take an average?
     
  2. fjm9898

    fjm9898 Member

    Joined:
    May 8, 2013
    Messages:
    739
    Location:
    Washington State
    your broker will have options on the sale type listed on the sale page:

    first in first out
    all or none
    ect.

    look at that menu and find the one you need
     
  3. rdalcanto

    rdalcanto Member

    Joined:
    May 8, 2013
    Messages:
    663
    Location:
    Salt Lake City
    OK, it looks like I can select a "tax lot" at the time of the order. Thanks.
     
  4. mershaw2001

    mershaw2001 Member

    Joined:
    Apr 26, 2013
    Messages:
    559
    Location:
    Menlo Park

    You can also call your broker within the time till settlement 3 days and have them adjust the lot cost basis by phone for no charge usually.
     

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