If you want to take advantage of the Roth IRA and ultimately withdraw your money ... ordinary income tax is paid on the original cost basis of the stock. ......

Unless your mutual fund is set up as an IRA , 401(k) or other tax-deferred program, ... Cost basis is the amount of money you have invested in your shares. ......

For many taxpayers, the Roth IRA is one of the best tax-advantaged retirement plans .... This “ Basis ” calculation is important because it is your tax cost . ......

Example: You convert a traditional nondeductible IRA with a cost basis of $10000 and earnings of $10000 to a Roth IRA . Only $10000 would be subject to ......