loss on Roth

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Subject Author Date loss on Roth B Greene 03-24-2009  Re: loss on Roth removeps-groups@yahoo.com 03-24-2009
Posted by B Greene on March 24, 2009, 10:47 am Please log in for more thread options I know, if a retirement plan reduces Income, that the losses are not deductible. What are the rules for a Roth plan that Taxpayer held for 4 years and cashed out? (Cashed out before the losses consumed it all) TP invested 7400 in the plan cashed out for 6500, received 1099R for 6500. -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Posted by removeps-groups@yahoo.com on March 24, 2009, 11:04 am Please log in for more thread options > I know, if a retirement plan reduces Income, that the losses are not > deductible. > > What are the rules for a Roth plan that Taxpayer held for 4 years and cashed > out? > (Cashed out before the losses consumed it all) > > TP invested 7400 in the plan cashed out for 6500, received 1099R for 6500. If you close out all of your Roth IRA's, you can take a loss on Schedule A subject to the 2% of AGI rule and AMT. Thus, the loss might be worthless if your AGI is high. But be sure to combine all your misc deductions together (tax prep fees, fees you pay people to manage your money, etc). http://www.fairmark.com/rothira/losses.htm -- << ------------------------------------------------------- >> << The foregoing was not intended or written to be used, >> << nor can it used, for the purpose of avoiding penalties >> << that may be imposed upon the taxpayer. >> << >> << The Charter and the Guidelines for submitting posts >> << to this newsgroup as well as our anti-spamming policy >> << are at www.asktax.org. >> << Copyright (2007) - All rights reserved. >> << ------------------------------------------------------- >> Similar Threads Posted Loss On Roth IRA October 20, 2008, 2:52 pm Loss in a Roth January 21, 2009, 12:27 pm Loss in Roth IRA March 12, 2010, 12:28 am Roth IRA? Please explain the taxes in reference to Roth IRA vs. Traditional April 3, 2008, 4:03 pm rollover 401k to Roth IRA and withdraw from Roth IRA November 22, 2009, 11:39 am Rollover of Roth 401k into Roth IRA February 11, 2008, 2:17 pm Any way to get a tax loss here? February 24, 2008, 8:00 pm What to do with a net loss? March 13, 2008, 11:26 am Loss on IRA December 15, 2008, 11:18 pm Theft Loss November 24, 2006, 11:34 pm