Submitted By: someone
Answered: April 15, 2014 8:30 am

Can I roll over a CD tax free?

If the CD is in a tax-deferred or tax-free account, such as an IRA or Roth IRA, interest on the CD is not currently taxed; the rollover of the CD when it matures is not a taxable event. If the CD is in a taxable account, interest is taxable, but again rolling over the proceeds when the CD matures is not a taxable event.

Tags: CD, IRA
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Tax Glossary

Trust

An arrangement under which one person transfers legal ownership of assets to another person or corporation (the trustee) for the benefit of one or more third persons (beneficiaries).

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