Can you avoid capital gains by reinvesting

Do you pay capital gains even if you reinvest?

Capital gains generated by funds held in a taxable account will result in taxable capital gains, even if you reinvest your capital gains back into the fund. Thus, it may be smart not to reinvest the capital gains in a taxable account so that you have the cash to pay the taxes due.

Can I reinvest stock to avoid capital gains?

With some investments, you can reinvest proceeds to avoid capital gains, but for stock owned in regular taxable accounts, no such provision applies, and you'll pay capital gains taxes according to how long you held your investment.

How can I avoid capital gains tax?

How to Minimize or Avoid Capital Gains Tax.
Invest for the long term. ... .
Take advantage of tax-deferred retirement plans. ... .
Use capital losses to offset gains. ... .
Watch your holding periods. ... .
Pick your cost basis..

Can I reinvest to avoid capital gains UK?

The taxpayer may reinvest as much or as little of the gain as they wish. The permitted maximum investment per individual per tax year is £1m.