Taxable Income, Book Value, Market Value and Investment Returns: What Does It All Mean?

2020-02-26T15:24:13+00:00February 26th, 2020|Financial Planning & Tax|

As investors gather their tax information for the 2019 tax season, we thought it would be helpful to address two recurring questions that come up this time of year. “My investment returns were strong last year, but my accountant doesn’t seem so sure as I don’t have a lot of taxable investment income to report. How did I really do overall?” This common comment shines a light on the relationship between a portfolio’s investment return and what qualifies as taxable income. It is helpful to approach each concept separately to understand their connection. Your portfolio’s investment return represents the amount of money your [...]