With that in mind, John Burke, CFP, president of Burke Financial Strategies, and Steven Criscuolo, CPA, chief financial officer of Burke Financial, put together this list of the top 10 tax mistakes made by investors through a recent survey conducted of investment advisors.
September 30, 2013 2:53 PM
jeff Metzger - Fotolia
Investing is a complex undertaking. The supply of investment alternatives is seemingly endless. Evaluating various alternatives can be quite difficult and very time consuming. And unless held in check, the actual decision-making process is fraught with human emotions that often lead investors to make counterproductive investment choices.
Sergey Nivens - Fotolia
Realized gains on appreciated securities held for one year or more qualify for favorable tax treatment. Long-term capital gain tax rates are significantly lower than short-term rates. Holding a security an extra day, week or month can significantly reduce the tax burden.
Stephan Hartmann/papalapapp - Fotolia
Most foreign companies are required to withhold foreign taxes on dividends paid. U.S. investors can claim a tax credit on their tax returns, effectively recouping this lost dividend -- but only if the foreign stocks are held in a taxable account.