Question
Do I still pay capital gains tax if it was from a mutual fund that automatically reinvested the gains back into the fund? That's what turbotax is calculating for me now.
I'm invested in a mutual fund that sold some of its assets, sent a statement to its members saying how much capital gains they received and then immediately reinvested the gains. However, now those capital gains are on my 1099 from that fund and I"m seeing a big tax bill from it even though I never really took those gains.
