Do i have to pay taxes on gains in roth ira
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Do i have to pay taxes on gains in roth ira

 
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Do i have to pay taxes on gains in roth ira

Not if the money is sitting in the account. Also, not if you have qualified distributions.

The only time you can pay tax on gains/ earnings in a Roth is if you have:

A/ nonqualified distributions (qualified distributions info listed below)

B/ earnings on excess contributions

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What Are Qualified Distributions?

A qualified distribution is any payment or distribution from your Roth IRA that meets the following requirements.

  1. It is made after the 5-year period beginning with the first taxable year for which a contribution was made to a Roth IRA set up for your benefit, and

  2. The payment or distribution is:

    1. Made on or after the date you reach age 59½,

    2. Made because you are disabled (defined earlier),

    3. Made to a beneficiary or to your estate after your death, or

    4. One that meets the requirements listed under First home under Exceptions in chapter 1 (up to a $10,000 lifetime limit).

https://www.irs.gov/publications/p590b/ch02.html#en_US_2016_publink1000231061

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