Ask the taxgirl: Figuring the Tax on Joint IRAs

Taxpayer asks:

My mom and I have a joint IRA. She is 73 years old and I am 45 years old. How do we figure out how much of it is taxable to each of us?

Taxgirl says:

Er, um. You can’t. There isn’t any such thing as a joint IRA. I think you need to call up your financial advisor and find out more about the account. It’s possible that you’re the beneficiary of your mom’s IRA – that’s a whole other animal. In that case, it’s taxable to your mom during lifetime and then it passes you at her death. But you can’t own an IRA together during her lifetime.

Like any good lawyer, I need to add a disclaimer: Unfortunately, it is impossible to give comprehensive tax advice over the internet, no matter how well researched or written. Before relying on any information given on this site, contact a tax professional to discuss your particular situation.

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