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-   -   Pay taxes on lump sum (https://www.askmehelpdesk.com/showthread.php?t=206435)

  • Apr 16, 2008, 07:43 AM
    quasae16
    Pay taxes on lump sum
    I rolled over my pension to an IRA in which I know wasn't taxable. Later in the year I took out a lump sum amount. I live in NY. I am over 65. Do I have to pay federal and state taxes on that money?
  • Apr 16, 2008, 08:05 AM
    MukatA
    Yes, withdrawal from IRA (except Roth IRA) is taxable income.
  • Apr 16, 2008, 08:06 AM
    ebaines
    Yes - this is taxable income to you, so you do have to pay federal and state income tax. You should have received a 1099-R from the IRA administrator showing the amount of your distribution - you report this amount on line 15 of form 1040. If they withheld any taxes from the distribution you show that on line 64.
  • Aug 29, 2012, 09:13 PM
    sbj98d
    My dad is going to give me about $25,000. I do not want it to be taxable income. Where can I put it to avoid this? I am 62 and still working. Can I put into an IRA?
  • Aug 29, 2012, 09:23 PM
    taxesforaliens
    sbj98d: If this is a gift, it would not be taxable to you.
    However, your dad might have to file a gift tax return on form 709 as the gift is over the $13,000 limit. He won't have to pay taxes on it if his gifts to you are below the life time gift limit (I believe it's 5 million)
  • Aug 30, 2012, 05:45 AM
    ebaines
    Quote:

    Originally Posted by sbj98d View Post
    I am 62 and still working. Can I put into an IRA?

    As TfA pointed out already, this gift is not taxable to you. But yes, you can put some into an IRA, although the max contribution limit is $6K in any one calendar year.

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