topic Re: Capital Gain in After you file

Capital Gain

mchhuntb2017 — Sat, 22 Feb 2020 21:32:37 GMT

Hi,

I changed my job early this year. I transfer my pre-tax 401k to Roth IRA.

However, my old 401K administration transferred all my gain to my new Roth IRA account.

I already did my tax for 2019 year.

Can I start to invest my new Roth IRA ?

How can I pay the capital gain for my old 401k ?

Regards,

Michael

Re: Capital Gain

DanaB27 — Sat, 22 Feb 2020 21:58:55 GMT

Yes, you should be able to start contributing to your Roth IRA as long as it is within the limits. Please see Amount of Roth IRA Contributions You Can Make for 2020 for details. The conversions from your 401k to Roth IRA are not considered contributions.

You will get a 1099-R for the conversion you conducted at the beginning of 2020 and it will be included on your 2020 tax return.