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New Member
posted Feb 16, 2020 9:39:09 AM

roth IRA distributions

I am 68 I have had a roth IRA greater than 5 years. I have also made conversions (on which I paid tax)  to the roth IRA from my traditional IRA within the last 5 years. In 2019 I withdrew a substantial amount of the roth.

Do I owe taxes on the earnings from the contributions made to the Roth within the last 5 years, or is the total withdrawal non taxable? 

0 2 327
2 Replies
Level 15
Feb 16, 2020 9:56:55 AM

Being over age 59 1/2 is an exception to any early distribution penalty.

Expert Alumni
Feb 16, 2020 10:02:48 AM

The total withdrawal should be non-taxable if it is a qualified distribution.  

 

From IRS Publication 590-B:

 

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).

 

 

 

@jdc367