2006 Deluxe - IRA distribution as taxable income

#2 01-10-2007, 12:32 AM

You can also do it as a transfer if you
1. edit it from the receiving account side and split it as both a transfer
and income
2. live with split transactions that Money complains about because it
doesn't "balance"

--
Michael Gordon

"ameridan" <ameridan[at]discussions.microsoft.com> wrote in message
news:F4DB43EA-A130-4970-AD26-B5A350DA9B35[at]microsoft.com...
- quote -

> I beg to differ.
> I have a Income category IRA distributions that is linked to Form= 1099R;
> Line= IRA Taxable Distribution for just such withdrawals. They need to
> be
> Journal entries though, not transfers, which is the way Schwab handles
> this
> automatically.
> "harrelsonesq" wrote:
> > It can't be done.
> > > You can't make Money believe that an IRA distribution is taxable income,
> > because Money believes that the money in the IRAis already yours. When
> > you
> > move that money from the IRA into your checking account, or wherever you
> > put
> > it before spending it, it's a transfer. It's not income. That's just the
> > way
> > Money works.
> > > That's why you couldn't find an answer. Money won't do what you want.
> > Many
> > people have struggled with this issue, but there is only one solution.
> > You
> > will have to add the IRA distributions to your tax program manually.
> > Sorry.
> > > Susan
> > > "John Sigler" <johnsig[at]xxxadelphia.net> wrote in message
> > news:45a29a5d$0$5148$4c368faf[at]roadrunner.com...
> > > Seems this should be easy but not for me. I tap my IRA by selling
> > > mutual fund shares in my IRA account and transferring my taxable
> > > account
> > > in one sell transaction. I could do it as separate sell and transfer
> > > transactions. I want this to show up as Taxable Income in my
> > > Estimated
> > > Taxes Report but there appears to be no way to assign a category to
> > > either a sell or transfer transaction.
> > > > > Please tell me what I am missing. I've been through the newsgroup and
> > > both FAQ's but if the answer is there I haven't been able to find it.
> > > --
> > > ************************************************** ************
> > > * To respond by email, please delete the "xxx" in my address *
> > > ************************************************** ************
> > > > >

#1 01-09-2007, 05:00 PM

Brilliant! That will work. Thanks for the elaboration. The term "Journal
Entry" had me confused. Much thanks.

In article <F64364D4-855F-4A4C-8D58-AB0EF07A7BD1[at]microsoft.com> ,
ameridan[at]discussions.microsoft.com says...
- quote -

> To further elaborate: Sell with proceeds going to the Cash account, Then
> have this income payable to "Journal: to Checking Account" in one transaction
> with no assigned Category. Under Checking account, you post this as
> "Journal: from IRA account" under the Income category I previously mentioned.
> Easier to reconcile this way as well.
> "ameridan" wrote:
> > I beg to differ.
> > > I have a Income category IRA distributions that is linked to Form= 1099R;
> > Line= IRA Taxable Distribution for just such withdrawals. They need to be
> > Journal entries though, not transfers, which is the way Schwab handles this
> > automatically.
> > > "harrelsonesq" wrote:
> > > > It can't be done.
> > > > > You can't make Money believe that an IRA distribution is taxable income,
> > > because Money believes that the money in the IRAis already yours. When
you
> > > move that money from the IRA into your checking account, or wherever you
put
> > > it before spending it, it's a transfer. It's not income. That's just the
way
> > > Money works.
> > > > > That's why you couldn't find an answer. Money won't do what you want.
Many
> > > people have struggled with this issue, but there is only one solution.
You
> > > will have to add the IRA distributions to your tax program manually.
Sorry.
> > > > > Susan
> > > > > "John Sigler" <johnsig[at]xxxadelphia.net> wrote in message
> > > news:45a29a5d$0$5148$4c368faf[at]roadrunner.com...
> > > > Seems this should be easy but not for me. I tap my IRA by selling
> > > > mutual fund shares in my IRA account and transferring my taxable
account
> > > > in one sell transaction. I could do it as separate sell and transfer
> > > > transactions. I want this to show up as Taxable Income in my
Estimated
> > > > Taxes Report but there appears to be no way to assign a category to
> > > > either a sell or transfer transaction.
> > > > > > > Please tell me what I am missing. I've been through the newsgroup and
> > > > both FAQ's but if the answer is there I haven't been able to find it.
> > > > --
> > > > ************************************************** ************
> > > > * To respond by email, please delete the "xxx" in my address *
> > > > ************************************************** ************
> > > > > > > > --
************************************************** ************

* To respond by email, please delete the "xxx" in my address *
************************************************** ************

01-09-2007, 06:14 AM

It can't be done.

You can't make Money believe that an IRA distribution is taxable income,
because Money believes that the money in the IRAis already yours. When you
move that money from the IRA into your checking account, or wherever you put
it before spending it, it's a transfer. It's not income. That's just the way
Money works.

That's why you couldn't find an answer. Money won't do what you want. Many
people have struggled with this issue, but there is only one solution. You
will have to add the IRA distributions to your tax program manually. Sorry.

Susan

"John Sigler" <johnsig[at]xxxadelphia.net> wrote in message
news:45a29a5d$0$5148$4c368faf[at]roadrunner.com...
- quote -

> Seems this should be easy but not for me. I tap my IRA by selling
> mutual fund shares in my IRA account and transferring my taxable account
> in one sell transaction. I could do it as separate sell and transfer
> transactions. I want this to show up as Taxable Income in my Estimated
> Taxes Report but there appears to be no way to assign a category to
> either a sell or transfer transaction.
> Please tell me what I am missing. I've been through the newsgroup and
> both FAQ's but if the answer is there I haven't been able to find it.
> --
> ************************************************** ************
> * To respond by email, please delete the "xxx" in my address *
> ************************************************** ************

#-1 01-08-2007, 06:24 PM

Seems this should be easy but not for me. I tap my IRA by selling
mutual fund shares in my IRA account and transferring my taxable account
in one sell transaction. I could do it as separate sell and transfer
transactions. I want this to show up as Taxable Income in my Estimated
Taxes Report but there appears to be no way to assign a category to
either a sell or transfer transaction.

Please tell me what I am missing. I've been through the newsgroup and
both FAQ's but if the answer is there I haven't been able to find it.
--
************************************************** ************
* To respond by email, please delete the "xxx" in my address *
************************************************** ************

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