I have 2 mutual funds. I did not take any money out from them in 2010. Also, I did not sell any of them. But, there are positive "Change in Investment Value."

I called my mutual fund company. They told me that in my case they are not required by law to send me any tax document but they said they cannot answer tax question.

My question: Do I need to include the change in investment value when I file tax?

Thank you.

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Originally Posted by Piggley Winks

My question: Do I need to include the change in investment value when I file tax?

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No. The change in investment value is called an "unrealized" capital gain, meaning you have an investment that you could sell at a profit if you wanted to, but have not yet decided to do so. Once you sell the investment it becomes a "realized" capital gain. You pay taxes only on realized capital gains (and deduct realized capital losses). So as long as you keep your mutual fund holdings without selling them, you have no gains (or losses) to report.