How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ed Johnson Your Own Question
Ed Johnson
Ed Johnson, Tax Preparer
Category: Tax
Satisfied Customers: 10760
Experience:  GPHR Cert; U.S. Treasury Tax Advocacy Panel appointee
586644
Type Your Tax Question Here...
Ed Johnson is online now
A new question is answered every 9 seconds

Again, what will the amount or % on the IRA (249,333) be

Customer Question

Again, what will the amount or % on the IRA (249,333) be?
Submitted: 7 years ago.
Category: Tax
Expert:  Ed Johnson replied 7 years ago.

Dear Jperkins,

 

I have looked at those other posts of yours.

 

AND the distributions are taxed at your maringal rate.

 

If yiou inherit the IRA there are no taxes on it, unless you take a lump sum distribution.

 

so the taxes on an a traditional IRA inherited or not are:

 

1. For regular distributions: at your marginal rate wich can be anywhere between 10 and 35 percent. The distributions you draw out are added to your adjusted gross income and then taxed at the level indicated for that adjusted gross income, that is shown in the tax tables.

 

2. If you take it out in lump sum, at the amount you indicate it will be 35%.

 

3. If you take an early distribution, that is, you are not retirement age, then you may have to pay an additional 10% penalty.

 

 

Related Tax Questions