Skip to main content
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Hi, looking for clarification on what to expect. Need layman's terms.

Doing my taxes via TT and encountered my first issue. It seems I am not eligible for a Roth as our income exceeds the limit this past year. TT mentioned that I need to withdraw the excess amount (I put in $2000) I went ahead updated TT that I did not make contribution and I noticed it gone and also the 6% penalty. Have not submitted taxes yet.

Now what I decided to do is withdraw the amount ($2000) and am aware that any earnings from that will too get deducted and also I will pay a 10% penalty on withdraw of earning. (ex. $2000 contribution for 2006, earnings was $400 and penalty will be $40 so I should get from them $2360)

Question, do I get anything from mutual fund to apply for this year's taxes (1099-R???) this is what I am not clear on. If I am to get something and have to wait to receive to update my taxes.

Also to throw a twist, I am also withdrawing my contributions from this yr ($100). Again, do I get anything for that?

thanks

WW
Print the post  

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.
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.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! 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.