Post #14952 by sleepydragon on the Berkshire Hathaway board

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)

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I am in the process of buying a house, and as a result i need to sell a lot of stocks. The problem is 70% of my taxable accounts is Brk and 100% of my IRAs is Brk. I have roughly equal $amounts in both type accounts. The brks in either type of accounts have unrealized capital gains of between 130-180% percent.

Then this hits me: Won’t it be more efficient if I sell my stocks in the IRA instead of selling from the taxable accounts? If I sell from IRA, i need to pay 10% penalty + income taxes, but I won’t have to pay capital gains tax. That means, if the unrealized capital gain % is sufficiently large, I might get more after tax+penalty dollars for selling the same amount of stock if I sell my IRA?

What you guys think?

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