0
Certain IRA administrative fees, whether or not you're currently taking distributions, are deductible, but they have to be paid by the account owner's non-IRA funds. You're right that investment fees paid to produce taxable income are tax-deductible. These expenses are miscellaneous itemized deductions subject to an overall reduction of 2 percent of adjusted gross income.
The key to deducting the IRA fees is to cut a check or use a credit card to pay the broker the annual maintenance fees. For example, if your broker charges you $150 for the IRA annually, you need to pay this to the broker from non-IRA assets for it to be deductible. The payment is not considered an additional contribution, but rather a miscellaneous itemized deduction.
On the other hand, if your broker charges a 1 percent-of-asset-value fee to invest your IRA, these fees cannot be reimbursed to the IRA. That would be considered an additional contribution as it is not an administrative fee. Since your broker is deducting this from your IRA, this investment charge is not deductible to you as it is coming out of pretax dollars
Read more: http://www.bankrate.com/finance/taxes/are-investment-fees-tax-deductible.aspx#ixzz2vrNsfdej
Follow us: @Bankrate on Twitter | Bankrate on Facebook
What else can I help you with?
What can you tell me about a Roth IRA tax deductible?
The benefit to a ROTH IRA tax deductible is that it is TAX DEDUCTIBLE. But that does not mean that there are no implications, so you still have to be thorough.
Are private school fees tax deductible in Australia?
In Australia, Private school fees are not tax deductible.
Are tax preparer fees deductible?
Yes
How do you get tax benefit on IRA contribution?
You can receive a tax benefit on your IRA contributions in a few ways, depending on the type of IRA you have. For a traditional IRA, contributions may be tax-deductible, reducing your taxable income for the year you contribute. For a Roth IRA, while contributions are made with after-tax dollars and are not deductible, qualified withdrawals in retirement are tax-free. Additionally, income limits may apply, so it's important to check eligibility criteria for tax benefits.
What type of account can i open that is tax deductible if im retired?
If you're retired, you can consider opening a Health Savings Account (HSA), provided you are enrolled in a high-deductible health plan. Contributions to an HSA are tax-deductible, and the funds can be used tax-free for qualified medical expenses. Additionally, if you have earned income, a Traditional IRA can also be an option, allowing for tax-deductible contributions depending on your income and other factors. Always consult a tax professional for personalized advice.
What can you tell me about a Roth IRA tax deductible?
The benefit to a ROTH IRA tax deductible is that it is TAX DEDUCTIBLE. But that does not mean that there are no implications, so you still have to be thorough.
Are private school fees tax deductible in Australia?
In Australia, Private school fees are not tax deductible.
Are concierge fees tax deductible?
Concierge fees are generally not tax deductible as they are considered personal expenses.
Are credit card late fees tax deductible?
No, credit card late fees are not tax deductible.
What is the difference between Traditional versus Roth IRA?
The tax breaks for a "Traditional" IRA are tax-deductible where as the tax breaks in a "Roth" IRA are never tax-deductible. For more detailed information, speak to a financial adviser.
Do you get a deduction for Roth IRA contributions?
No, contributions to a Roth IRA are not tax-deductible.
Are Association Fees Tax Deductible?
Homeowner association fees are NOT deductible on the individual taxpayers 1040 income tax return.
Are concierge doctor fees tax deductible?
Concierge doctor fees are generally not tax deductible as they are considered personal expenses.
Are vehicle registration fees Michigan State tax deductible?
Yes, vehicle registration fees are tax deductible as they are considered a tax on personal property. However if the car was made before 1984, the registration fees may not be deductible.
Are tax preparer fees deductible?
Yes
Are drivers training fees tax deductible?
No
Are ADR fees tax deductible?
Yes, fees paid for Alternative Dispute Resolution (ADR) services are generally tax deductible as a business expense.
