What did you buy the shares for? You can go into whatever site where the IRA's reside, and figure out how many shares you sold, what the price of the shares.

A rule of thumb is "first in, first out," meaning that you look at what you paid for the first shares, then figure that those are the shares you sold.

It is hard to get "exact." I have always ballparked it then checked to see if it looked reasonable.

In short: Basis = what you paid for the shares that you just sold. If the share price was less than you just sold it for, you made some money. If the share price was lower, then it's a negative number that goes into the mix of your income.

Naw, not that kind of distribution. The stupid kind of distribution. I took the distrib as Cash for Shane ;-)

A cash distribution. So basis is zero?

THANKS. Gawd, I'm pulling my hair out over what's on form 8606 page 5. It's ridiculous. There's nothing that specifically addresses the definition of "total basis in traditional IRAs."

Well if was an IRA that your employer contributed to, then it's all taxable income, I would think. If you contributed to it, then there was a share price, or something that you paid to get whatever balance.

There are people sitting around, at this time of year, at about any mall to answer those questions. Maybe you should find that sort of advice.

Actually, I think you hit it. All is taxable regardless of the "total basis" mumbo-jumbo. I'll check it out, though, and won't hold you to your answer--no worries. Thanks!

I hate paperwork. I just panic irrationally no matter how easy it is.

It is all taxable if it was a regular IRA - you took the deduction up front. If it was a Roth, only the amount of growth would be taxable - you get the deduction on when you take it out.

Either way, your basis would be the initial amount you funded it with, plus any additions you made after that 0 it doesn't include interest or dividends paid out, or the increase in share price (i.e., $2000 put in the account in 2005, $1000 added in 2006, cashed in for $4525 in 2007 would have a basis of $3000).

Thanks, blackkar.

*grumblehatetaxesgrumble*

Why did you take it out, though? You can get away with it if you also purchased a home in the same year, or paid college tuition for yourself or a dependent.

oh, medical bills, too, if they are in excess of 7.5% of your income. Or if it was court ordered (IE a divorce settlement).