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A question about IRA's:

My wife received a reasonably large IRA Rollover account as part of a severance package several years ago.
While doing our taxes (on MacInTax), the program asked me for the cost basis and present value of the IRA, "if applicable". It wanted the total of any "nondeductible contributions".

My question is, if my wife never added to the account once it was set up, does that mean there were never any nondeductible contributions - or is the whole thing one big nondeductible contribution, since it came as part of a severance package when another company bought her company out and laid her off?

This is in the context of reporting an early distribution from the account - with all the nasty attendant extra taxes and penalties.

Thanks much for your help!

- Scratching our heads
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