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Level 1
June 6, 2019
Question

2016 Dividends paid by a stock held in an IRA - are these dividend payments reported as dividend income for the year paid?

  • June 6, 2019
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1 reply

June 6, 2019

No.  For retirement accounts (401k, IRA, Roth IRA, etc), the IRS only cares about funds contributed and withdrawn.  Earnings within the account don't matter.  If you did not withdraw money from your retirement account, there is no tax reporting. 

For taxable brokerage accounts (i.e., not a 401k or an IRA), the opposite is true:  funds in and out don't matter, but interest, dividends, and capital gains would be reported.