I moved my Roth from Fidelity to Etrade and got $600. Is that taxable? Normally I would assume it was, but income in a Roth is never taxed, so maybe the incentive isn't either.
Fidelity charged me $50 (which I am not terribly happy about, considering the size of my other accounts with them, but that is besides the point...) If the $600 is taxable, is the $50 fee deductible somehow.
Wnat account was the amount deposited to? Your Roth, or some other account? Doesn't seem like it could be a qualified Roth contribution, since they don't even know what your earned income was.
considering the size of my other accounts with them, but that is besides the point...) If the $600 is taxable, is the $50 fee deductible somehow.
Yeah, all these brokerages want to charge you for leaving them. Ameriprise is probably three times worse than Fidelity.
How is E*Trade going to report the $600 at the end of the year?
Maybe it's income in the Roth account, like additional interest or a dividend.
Bob Sandler
never taxed, so maybe the incentive isn't either.
Nice try, but this sounds like Etrade is giving you a toaster, which has nothing to do with the type of account and is fully taxable. Usually the fine print in their promotion tells you how they're going to report it.
size of my other accounts with them, but that is besides the point...) If the $600 is taxable, is the $50 fee deductible somehow.
The treatment of the fee is totally independent of the treatment of the $600. The fee is an investment expense deductible as a miscellaneous itemized deduction subject to the 2% exclusion.
Phil Marti VITA/TCE Volunteer Clarksburg, MD
never taxed, so maybe the incentive isn't either.
Etrade says the deposit will be "made into your account". I have emailed them, asking them to clarify. I rather felt it was like a dividend; but maybe not.
I got $1,000 from them last year and paid tax on it this year without question as it was into a taxable account; but this seems different.
never taxed, so maybe the incentive isn't either.
Etrade simply put the the $1,000 (it was only supposed to be $600, but I guess they like me) directly in my Roth as an adjustment. So next year at tax time, what do I do?
size of my other accounts with them, but that is besides the point...) If the $600 is taxable, is the $50 fee deductible somehow.
I asked Fidelity if charging me $50 was a smart move when my remaining accounts were much larger. They agreed it wasn't and repaid the $50.
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