cilla

Thanks to both of you for your help! This is how I understood the rules. However, I wasn't sure that I was correct and it's never fun explaining this! I needed confirmation before I tell them. LOL So- we should keep track of all IRA statements every year, by updating the current value and the current contributions on the 8606 form whether you file it or not. Right? Have a GREAT day!

Thanks, I realize he can't claim a loss on this. I was thinking he contributed the basis after-tax with an IRA he opened himself- that is not the case. Anyway - even if he had contributed the basis for this - it sounds like he would have to take out all other IRA's in order to claim a loss - right? So you take a hit on a loss and pay tax on money withdrawn from a Traditional IRA - even if you opened one with after-tax money, if you have additional pre-tax IRA's that you are not withdrawing at the moment Is this right - or am I talking in circles. I'm sorry!!

I'm in need of some assistance. This is my first time using this board. I have a client who is 67 years old. He took a total distribution of one of his Traditional IRAs. It was a loss of $2187. He does not itemize. My question is, do I have to put this 1099-R distribution on the return- even if it was a loss? This is not the only IRA with taxable distributions this year, he has another one with a different company showing a taxable distribution. Both 1099-R's show "taxable amount not determined." Any guidance would be appreciated. Thanks!