Taxable Roth Dividend

[Yesnam]

In my Roth statement for December 2011, I notice that there is an entry under Income Summary that says Year-to-date Taxable Dividend($142.82). I am a bit puzzled because I had assumed earnings in a Roth account are tax free. Is there any situation under which dividend earned on stocks/ETFs/Mutual Funds in a Roth account be taxable? Or could it be that a particular fund that I have in my portfolio the dividend on which is subject to tax?

Thanks for any possible insight.

[mbozek]

In my Roth statement for December 2011, I notice that there is an entry under Income Summary that says Year-to-date Taxable Dividend($142.82). I am a bit puzzled because I had assumed earnings in a Roth account are tax free. Is there any situation under which dividend earned on stocks/ETFs/Mutual Funds in a Roth account be taxable? Or could it be that a particular fund that I have in my portfolio the dividend on which is subject to tax?

Thanks for any possible insight.

My Roth statement for Dec says: "dividends and other income". The amount listed was for taxable dividends paid into the IRA which are not included as taxable income. If you dont get a 1099 R you arent being taxed on the funds.

[masteff]

In slightly different words: a monthly statement is not a tax form, don't over construe words on a monthly statement, especially on tax-deferred accounts like IRAs and Roth IRAs. Most likely, your brokerage just uses standard terminology for both regular and IRA-type accounts, resulting in IRA-type accounts having less than correct terms used.

[Yesnam]

Thanks. I will wait for the 1099R form that for some reason will not be available until after March 15.

[K2retire]

1099s are required to be sent to you by January 31 and filed with the government by the end of February.

[masteff]

A K-1 would be March 15th, if it's possibly that rather than a 1099. But the K-1 would belong to the IRA and not to the individual.

[Yesnam]

A K-1 would be March 15th, if it's possibly that rather than a 1099. But the K-1 would belong to the IRA and not to the individual.

In one of the announcements, the broker has advised that "1099 tax forms for the 2011 tax year will be sent out via regular mail by March 15, 2012."

[Borsley]

1099s are required to be sent to you by January 31 and filed with the government by the end of February.

Due to late tax law changes, it is my understanding that firms had an extension until Feb 15, 2012 this year to mail out 1099R's.