Do we need to report on our taxes that we moved our IRA money from mutual funds to gold in 2022?

[joorsb]

We have simple IRAs

[leeloo]

No, you do not report anything that happens within the IRA until you take a distribution. 

[LindaS5247]

As long as the money stays in your IRA, you can move it around tax-free.

If it was a taxable distribution you would receive a Form 1099-R from your Financial Institution.

[norse1957]

Sorry for re-opening a year old post, but my question is closely related to this... What about when you transfer some of of your money (a decent amount) from your 401K to a Gold IRA (traditional)? Are we supposed to put that info in our tax filing? Since it was a transfer, will I pay a tax penalty if it was over the $6500 ?

[JohnB5677]

Yes, you should put it on your tax return.

No, you should not be taxed on it.

You should have gotten a 1099-R from your 401-K account.

It should be posted to your tax return.

To Post a 1099-R

Log into TurboTax

1. Under Federal
2. Select Wages & Income
3. Scroll to and select IRA, 401(k), Pension Plan Withdrawals (1099-R)
4. Now Edit or Add another 1099-R
5. Enter your Broker or plan administrator information.
6. Follow the interview.

In the interview the question will be asked

What did you do with the money?

Answer:  I rolled it into another IRA account.

This will insure it is not taxed at this time.

@norse1957

Please contact us again with any additional questions or to provide some additional details.

[norse1957]

Thank you for your assistance on this JohnB5677. I did as you suggested, but Turbotax doesn't ask me "What did I do with the money?" - I was only asked by Turbotax if I moved the money into a Roth IRA... Which I did not, but rather I moved it into a traditional. Turbotax never asks me if I moved it into a traditional IRA, so does it think that I just kept the money?

[DanaB27]

You will answer "No" to the questions and then TurboTax will know that it was rollover because of the code in box 7.

1. On the "Did you move this money from a 401(k) to a Roth 401(k)?" screen answer "No"
2. On the "Did you move the money to a Roth IRA?" screen answer "No"

Please be aware that the whole distribution will show as income in TurboTax on the summary screen which shows gross income, not taxable income. To verify that the entry is correct please look at form 1040 line 5b (taxable amount),it should show $0 and state ROLLOVER next to it.

To preview Form 1040:

1. Click on "Tax Tools" in the left menu
2. Click "Tools"
3. Click "View Tax Summary" in the Tool Center window
4. Click on "Preview my 1040" on the left

@norse1957