Reply To: Do Capital Gains count as qualifying income for a Roth IRA?

Home Fairmark Forum Retirement Savings and Benefits Do Capital Gains count as qualifying income for a Roth IRA? Reply To: Do Capital Gains count as qualifying income for a Roth IRA?

#14879
Alan S.
Participant

Cap gains and other investment income does not qualify for IRA contributions. You must have taxable compensation (earned income) to make any kind of regular IRA contribution. But you do not need to have taxable compensation to convert some amount from your TIRA to a Roth IRA.

Since cap gains do not qualify, it makes no difference if they are ST, LT, or what the tax rate on those gains is.