closing IRA moving to foreign country
I am 53 years old and am closing my IRA so I can move to the Philippines. Can I take my full amount approximently $100,000 what taxes will i have to pay
Terry Says: Do you know that you don’t have to close the account. Instead, you could continue to let it grow tax-deferred. You don’t have to live in America to let the account continue to build retirement security. The worst thing about your question is that since you are under age 59-1/2, you will have to pay a 10 percent PENALTY, on top of ordinary income taxes, if you take the money out! I don’t know what your other taxable earnings will be this year, but likely you will have to pay at least 25% in ordinary income taxes, plus that penalty — which means that at least one-third of your money could go to the government — AND you lose all that future growth in the account. That doesn’t look like a smart financial move.