Roth IRA – Withdrawal and Penalty Hi,
I have question about early withdrawal of Roth-IRA.
Last year 2007 I was planning to buy house and taking that in consideration I withdrew my Roth IRA prematurely (Before 5 yrs of opening it). About $4100. But after housing market meltdown I didn’t buy house. Now I have this money sitting in my saving account.
I have couple of questions based on this:
1. Do I have to pay penalty or tax in 2007 taxes for early withdrawal?
2. Can I invest this amount back into Roth-IRA in 2008 before Apr-15-2008 to save on 2007 taxes or penalty?
Thanks for your help,
Lee |