2007-01-30 04:42:38 · 4 answers · asked by Lorilee V 1 in Business & Finance ➔ Taxes ➔ United States
Excellent question. No. They are not taxable by feds, state, or local government. Plus, if you wait until the year in which you turn 59 1/2 before you pull out the dividends, they will never be taxable. If you pull out gains (dividends, etc.) before 59 1/2, then they will be taxable unless you use them to purchase a "first-time" home (of course, there are limits and exceptions to all IRS rules).
2007-01-30 05:36:39 · answer #1 · answered by TaxMan 5 · 1⤊ 0⤋
Not until you take the money out. It grows tax-free.
2007-01-30 12:49:10 · answer #2 · answered by Nusha 5 · 1⤊ 0⤋
http://www.fredsecor.com/ira/mainira.htm
if you have one.. contact your financial advisor or call the IRS and ask them direct
2007-01-30 12:49:48 · answer #3 · answered by Anonymous · 0⤊ 1⤋
No.
2007-01-30 12:48:51 · answer #4 · answered by Judy 7 · 1⤊ 0⤋