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Lev
Lev, Tax Advisor
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I hold some PFICs in a Roth IRA. Do I have to file a Form

Resolved Question:

I hold some PFICs in a Roth IRA. Do I have to file a Form 8621 for each holding? Any gains are nontaxable anyway.
Submitted: 6 years ago.
Category: Tax
Expert:  Lev replied 6 years ago.

LEV :

Hi and welcome to Just Answer!

LEV :

Because there is no gain or loss on any investment held in an IRA - no need to file a Form 8621.


Potentially for instance for RMD or other taxable distribution purposes – you might need to compute the correct value of your assets using “mark to market” – but RMD is not an issue for Roth IRA.


The disadvantage of holding PFICs in IRA is that you may not deduct foreign taxes paid.

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