Originally Posted by
Piggley Winks
My question: Do I need to include the change in investment value when I file tax?
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.