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New Member
posted Jun 4, 2019 6:54:18 PM

If the basis of a non-deductible IRA is sufficient, can a distribution be fully non-taxable on F8606 or is it always partially taxed until basis is zero?

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Level 15
Jun 4, 2019 6:54:19 PM

Ignoring QCDs and HFDs which come from the otherwise taxable part, it's always part basis and part taxable until you have nothing left in traditional IRAs (or your balance becomes less than than your basis because of investment losses reducing your balance).

1 Replies
Level 15
Jun 4, 2019 6:54:19 PM

Ignoring QCDs and HFDs which come from the otherwise taxable part, it's always part basis and part taxable until you have nothing left in traditional IRAs (or your balance becomes less than than your basis because of investment losses reducing your balance).