1.) The contribution part of a correcting distribution is not taxed or penalized when the overcontribution is corrected promptly. The IRA administrator would calculate the actual required distribution amount. Since taxes and penalties only apply to the income associated with the over contribution, it would be a minor amount. 3.) The previous post covered the option of recharaterizing the contribution to an after-tax TIRA. A form 8606 would need to be filed to establish your cost basis.
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra