"For IRAs, the Service conceptualized the bonus as interest or other earnings (e.g., a dividend) paid on the IRA, and ruled that the firm had no reporting obligation either under Internal Revenue Code section 6041 pursuant to a statutory exception for such payments (section 6049(b)(2) and (4)) or 'any other information reporting requirements of the Code.' Although not explicitly addressed, the implication of this ruling is that the bonus (i) is not taxable to the IRA owner until distributed and (ii) does not count against the IRA annual contribution limit."  MORE >>