My mom setup a UGMA account a long time ago. She only put in $500 into it and today it's worth $2300. Actually its been fluctuating the past three years. At the end of one year, it was worth $2200. The following year, $1900, and the end of last year $2300. I'm now 24 years old and I'm entitled to use the funds for any purpose. I'm not sure how taxes work in UGMA accounts. I think you pay taxes on it every year on any earnings. I don't think they grow tax-deferred. Is my information correct?
If I withdraw funds from it, will I pay any income taxes on it?
2007-01-23
08:33:54
·
1 answers
·
asked by
Anonymous
in
Business & Finance
➔ Taxes
➔ Other - Taxes