If I pay my income tax before I buy an investment (Ex - Stocks) do I than have to pay taxes again on the gains I made?

If I pay my income tax before I buy an investment (Ex - Stocks) do I than have to pay taxes again on the gains I made? If the stock gives me dividends do I have to pay taxes on those as

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  • 3 weeks ago

    Depending on the jurisdiction, cap gains tax is payable on any upside. But I dont understand how income tax is payable upon purchasing an asset? Please explain more?

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  • 1 month ago

    Income tax and capital gains tax are calculated separately.

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  • Judy
    Lv 7
    1 month ago

    yes you'd pay income tax on any gains from the investment

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  • 1 month ago

    If you do it through a Roth IRA, no.

    If you do it the normal way, yes.

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  • 1 month ago

    Yes, your gains are taxed. Yes, dividends are taxed.

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  • 1 month ago

    Yes to both. For the capital gains, that's new income that hasn't been taxed yet.

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