distribution of mutual fund shares
client took a distribution from his brokerage ira in the form of mutual fund shares, transferred them to his non ira brokerage account. what is the cost basis of his mutual funds now that they are in the non ira account?
Permalink Submitted by Alan Spross on Thu, 2008-05-15 20:24
The cost basis is the last published NAV for the shares prior to distribution from the IRA. This applies regardless of any tax basis the client may have had in his TIRA that made the distribution less than 100% taxable.