I am planning on getting into the market for trading stock and building a portfolio. When figuring short-term or long-term capital gains tax this involves the sum of gain with total income for the year. This in turn may move me into another tax bracket. Given this, when performing trades in the market and if I do not withdraw this gain from the financial institution, will this still need to be included in my tax claim for the year or does this apply to only the funds in which I withdraw from the institution?
Sorry for asking such a remedial question, and please correct me if I am wrong.
Any help is greatly appreciated.
Adonis