Lux Investing
How do you determine short or long term capital gains on $ invested before a company was listed on the market?
I invested in a company and my $ was put in a trust. Once listed on the public stock market I was issued a stock certificate. When I sell the stock, will short term or long term gains be determined from the time I originally invested in the company or from the time the stock went public?
Public Comments
- Use the purchase price just the same as you would if the stock had been on the market.
- Your gains are long-term or short-term depending on when you bought the stock, not when it was listed.
