IRA Question

[mystkev]

When you transfer your IRA to another company are you able to deduct any losses you may have had from that fund on your tax return?

[que90nek]

deduct losses....from an ira......................

i didnt think an ira was company dependent....i've had the same one for 10 years.

both companies that had 401k's didnt have ira's.....

i've heard of a pension fund....offered by a company.....but not an ira.

please enlighten.

[mystkev]

When I say company, I do not mean the company I work for, I mean mutual fund company.

It is not offered by my company, what I mean is, if I want to transfer my money to another mutual fund company or even another mutual fund w/n the same brokerage, can I deduct the losses that I had from the previous mutual fund.

Is that clearer?

[que90nek]

deduct the losses...

i don't believe so......

the entire life of an IRA will have many ups and downs....

if you roll it over into another IRA....u will not have to pay the tax on the disbursement....but.....

i don't think u can deduct whatever losses u have.

[mystkev]

Originally posted by que90nek+
deduct the losses...

i don't believe so......

the entire life of an IRA will have many ups and downs....

if you roll it over into another IRA....u will not have to pay the tax on the disbursement....but.....

i don't think u can deduct whatever losses u have. It wouldn't be a disbursement b/c I would never have the money it would be a transfer, so no I wouldn't pay taxes on that.

So basically it would be a loss for me to rollover into another IRA. Then I'm better off keeping it in the IRA it's in, even though it has consistently lost money.

[que90nek]

it's not necessarily a loss...

it depends on the performance of the one you are transferrin it to....

if u have 5k in a poor performer...and u move that 5k to a better performer...u will GAIN money....

not lose.

[mystkev]

Originally posted by que90nek+
it's not necessarily a loss...

it depends on the performance of the one you are transferrin it to....

if u have 5k in a poor performer...and u move that 5k to a better performer...u will GAIN money....

not lose. When I say lose money, I am speaking on the money that is already lost. Speaking on the fact that it would not be deductible from my taxes. Would I be able to deduct the loss from the first IRA later, when it comes time for disbursement?

What I do know is that if I took an early distribution for say education expenses, I would pay taxes on that, not have a penalty and be able to deduct any losses that I have incurred.

[que90nek]

i am not sure...

the roth ira confuses me because there are so many options....

i rolled over my ira's to just one ira.....and didnt deduct any losses.

[mystkev]

Originally posted by que90nek+
i am not sure...

the roth ira confuses me because there are so many options....

i rolled over my ira's to just one ira.....and didnt deduct any losses. It is not a roth ira, it is a traditional ira which I would be transferring to another traditional ira.

[que90nek]

i went from traditional to roth....

no deduction.

i understand that they have educational ira's that are slightly diff...........

[mystkev]

Educational IRAs are completely different and they have a new name now it is the Coverdell Education Saving Account.

Educational IRAs are for the sole purpose of funding education.

[que90nek]

i've been reading...

other than the 10 percent penalty unless used for education....

i can't find deductin the losses

http://www.irs.gov/individuals/article/0,,id=96375,00.html

[que90nek]

it just so happens...

that the building i work in....

i work on FLOOR 8....

guess who's on FLOOR 9...and open and available for questions....

YEP....THE IRS.

I can go up and ask....

[mystkev]

Originally posted by que90nek+
i've been reading...

other than the 10 percent penalty unless used for education....

i can't find deductin the losses

http://www.irs.gov/individuals/article/0,,id=96375,00.html If you receive all of the funds from your IRA accounts you can deduct the losses, which I would assume means that you also have to report the gains. See http://www.irs.gov/formspubs/page/0,,id%3D12571,00.html Recognizing Losses on IRA investments

[mystkev]

I cannot find anywhere that you can deduct the losses if you transfer.

[que90nek]

now this i didnt know....

i stand corrected...

you CAN deduct losses from a distribution of an IRA....and from stock losses....

thanks, myst.


:beer