Form 5498 Box 15b Code A

[Pablo]

U.S.-based individual investor. After many, many hours of company-specific research in 2021, I decided to add a Canadian junior mining developer to my IRA via an OTC stock listing. The listing average volume is around 150k shares. The company also has a TSXV listing, trading at a slightly higher average volume.

FMV was reported in Box 15a on Form 5498 by Fidelity, with Code A in Box 15b: “Stock or other ownership interest in a corporation that is not readily tradable on an established securities market.”

Should I expect this to be contested as a prohibited transaction? Are there any additional actions I ought to take beyond my documented research?

[Kaye Thomas]

You do not need to be concerned. There’s nothing wrong with holding this type of asset in an IRA, and its appearance on Form 5498 is not a red flag.

[Pablo]

Thank you very much, Mr. Thomas.

[Author]

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