I am going to cash in approx. 30K of mutual funds this year (pay off mortgage). Any tips, strategies to lessen my taxes? I "lump sum invested" in the funds in the 80s and have held them since. One topic I need help with is which of the three cost base averaging methods I should use. Thanks.

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    Can we assume united states? 30K represents how much of the current balance? – mhoran_psprep Mar 14 '16 at 19:39
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    Tax questions require a country. Please provide more detail. – Chris W. Rea Mar 15 '16 at 2:06

One tip, not restricted to mutual funds: if you donate appreciated securities to a tax exempt non-profit, you get to claim the current value without paying capital gains since you didn't Reich those gains... and the organization, being tax exempt, can sell them for the full value without having to pay capital gains tax either. This isn't worth the coordinating effort for small donations, but if you've donating several thousand dollars at a time it's worth looking into.

(Did that for the first time myself last year; I don't generally give that much in one place.)

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  • The country USA. I would be taking all the monies and closing the accounts. – wco Mar 17 '16 at 14:35
  • I don't think there is any magic way to reduce taxes, then. I may be wrong. – keshlam Mar 17 '16 at 15:24

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