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Community: Investing Wiki

Term Of The Hour

Calculating stock basis: Original post by Jeff Franco of Demand Media When you use part of your paycheck to invest in stocks throughout the year, your tax basis in the shares is equal to the total of all payroll deductions. Your tax basis will include the market price at which you purchase each share of stock, plus the commissions your broker charges to execute the trades. However, unless you sell all of the stocks at the…

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