Sentences with phrase «nontaxable distributions»

For Mutual Funds: The amount you pay for your shares, including commissions and any reinvested dividends or capital gain distributions, less any nontaxable distributions or returns of capital.

You might receive both taxable and nontaxable distributions.

Don't confuse these nontaxable distributions with exempt interest dividends.

A: If you convert the entire amount of all traditional IRAs you own, then the non-taxable part of your rollover distribution is simply the total amount of nondeductible contributions you made to all of those IRAs, less the amount of nontaxable distributions you received in the past.

If you convert only part of your traditional IRA, or if you have more than one traditional IRA and don't convert all of them, then the nontaxable part of your conversion distribution will be determined by a formula where the nontaxable percentage is the amount of your total nondeductible contributions (less any nontaxable distributions you previously received) divided by the total balance of all of your traditional IRAs.

The IRS used to call them nontaxable distributions but now calls them nondividend distributions.

Some might have changed the shares» basis (Ex: nontaxable distributions).

For 1099 purposes, the distributions must be stock dividends, capital gain distributions, nontaxable distributions, or liquidation distributions paid on stock.

However, if you get back all of your cost (or other basis), you must report future nontaxable distributions as capital gains even though Form 1099 - DIV shows them as nontaxable.

Not exact matches

ROC is generally nontaxable and reduces the investor's cost basis by the amount of the distribution.

Unlike a trad IRA, if and when you take unqualified distributions, your contributions / conversions are considered to be withdrawn first (and nontaxable), and the gains last.

The part that isn't rolled over is treated as coming first from the nontaxable portion of the distribution.

From a tax perspective, any distributions from the Fund that might occur will be characterized as nontaxable return of capital (lowering the investor's cost basis).

That lets you know the distribution is truly nontaxable.

This rule does not apply to nontaxable return of capital distributions.

Q: How do I determine how much of my distribution is nontaxable if I made nondeductible contributions to one or more of my traditional IRAs?

A: No, your conversion distribution will be treated as partly taxable and partly nontaxable, even if you try to roll only the nontaxable part.

However, in most cases all distributions you take from the account at retirement will be nontaxable.

A plan can allow a hardship withdrawal only after the employee has exhausted all other distributions or nontaxable loans available under the plan.

Ordinarily, when you have basis in your IRAs, any distribution is considered to include both nontaxable and taxable amounts.

Without a special rule, the nontaxable portion of such a distribution could not be rolled over.

Only when the interest or gain is exhausted are distributions treated as a nontaxable recovery of investment in the contract.