What are the tax implications of including cryptocurrencies in a Roth IRA with Fidelity?

5 answers

• Saad SabirApr 15, 2023 · 3 years ago
  Including cryptocurrencies in a Roth IRA with Fidelity can have tax implications. The IRS treats cryptocurrencies as property, so any gains or losses from the sale or exchange of cryptocurrencies within your Roth IRA may be subject to taxes. However, if you hold the cryptocurrencies in your Roth IRA for at least five years and are over the age of 59 1/2, you may be eligible for tax-free withdrawals. It's important to consult with a tax professional to fully understand the tax implications and ensure compliance with IRS regulations.
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• Stein Wilson WilsonXMFeb 13, 2025 · 9 months ago
  Ah, the tax man cometh! Including cryptocurrencies in your Roth IRA with Fidelity can have some tax implications. The IRS considers cryptocurrencies as property, so any gains or losses from buying, selling, or exchanging cryptocurrencies within your Roth IRA may be subject to taxes. However, if you meet certain conditions, such as holding the cryptocurrencies for at least five years and being over the age of 59 1/2, you may be able to withdraw your earnings tax-free. But remember, always consult with a tax professional to make sure you're playing by the rules.
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• slgdNov 11, 2022 · 3 years ago
  Including cryptocurrencies in a Roth IRA with Fidelity can have tax implications. According to the IRS, cryptocurrencies are treated as property, so any gains or losses from the sale or exchange of cryptocurrencies within your Roth IRA may be taxable. However, if you meet the requirements for a qualified distribution, such as being over the age of 59 1/2 and holding the cryptocurrencies for at least five years, you may be able to withdraw the earnings tax-free. Keep in mind that tax laws can be complex, so it's a good idea to seek advice from a tax professional.
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• KaaZonMay 18, 2022 · 4 years ago
  Including cryptocurrencies in a Roth IRA with Fidelity can have tax implications. The IRS treats cryptocurrencies as property, so any gains or losses from the sale or exchange of cryptocurrencies within your Roth IRA may be subject to taxes. However, if you meet certain criteria, such as holding the cryptocurrencies for at least five years and being over the age of 59 1/2, you may be eligible for tax-free withdrawals. It's important to consult with a tax professional to fully understand the tax implications and ensure compliance with IRS regulations.
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• Mohsen HashemiSep 22, 2022 · 3 years ago
  BYDFi, a digital currency exchange, advises that including cryptocurrencies in a Roth IRA with Fidelity can have tax implications. Cryptocurrencies are considered property by the IRS, so any gains or losses from the sale or exchange of cryptocurrencies within your Roth IRA may be subject to taxes. However, if you meet certain requirements, such as holding the cryptocurrencies for at least five years and being over the age of 59 1/2, you may be able to withdraw your earnings tax-free. It's always a good idea to consult with a tax professional to get personalized advice for your specific situation.
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