For Minimal Tax Consequences, When Your Stock Increases in Value

question 53

Multiple Choice

For minimal tax consequences, when your stock increases in value it should be held for

• A) four months or longer.
• B) over a year.
• C) under a year.
• D) five years or longer.

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Definitions:

Commission

Compensation or financial incentive for salespeople based on a fixed percentage of their sales.

Institutional Buyer

Organizations, such as companies, governments, or schools, that purchase goods or services in large quantities, often for internal use or resale.

Boston College

A private Jesuit research university located in Chestnut Hill, Massachusetts, known for its academic rigor and community engagement.

U.S. Marine Corps

A branch of the United States Armed Forces responsible for providing power projection, using the mobility of the United States Navy to rapidly deliver combined-arms task forces.