Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: JeanDavid Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121061  
Subject: Someone told me... Date: 4/4/2011 10:26 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Someone told me if I do a transfer of funds or stock from one IRA to another in New Jersey that I must pay income tax on the transaction. This seems nuts, but you never know with politicians and bureaucrats. I suppose she meant N.J.tax.

I explained that to my knowledge, if you transfer from a regular IRA to a Roth IRA, tax is due, but I did not think tax would be due from one IRA to another. She insists that it applies from one IRA custodian to another. She has mutual funds (probably money market) that she switches from one custodian to another to get the best interest rate. I do not invest like that, so I have not thought much about it.

Could my friend be right? (It does not matter to me, since I do not plan to make such a transfer anyway.) Or did she screw up and have the funds pass through her hands from one custodian to the next?
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
Post of the Day:
Value Hounds

Medallion Financial: TAXI!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement