Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.
Trending News
How much tax is owed on this Roth IRA withdrawal (10 points)?
Joe, a 51-year-old taxpayer, has contributed a total of $20,000 to his Roth IRA over the last four years. Last week, when his account was worth $25,000, he withdrew $10,000 from his account. He is in the 15% marginal tax bracket. What's the tax bill on this withdrawal?
*New responders only, please*
3 Answers
- ?Lv 45 years ago
you received't owe capital effective factors. particularly, your IRA distribution will be taxed as commonly used income. in accordance to 2011 figures, contained in the adventure that your in simple terms income change right into a $10K IRA distribution, you isn't in a position to be claimed as a depending, and also you're actual no longer married filing a joint go back, the first $9500, isn't taxed. So, you may owe $50 in income tax (10%) plus the $1000 penalty.
- mildred fLv 79 years ago
Nothing. You are using money that has already been taxd. It is "characterized" as a Roth from the beginning of its existence.
