Do I have to pay state and federal tax on my IRA withdrawal?

If you take money from a Traditional IRA, the withdrawal is generally subject to federal income tax and may also be subject to state income tax, depending on where you live. You can choose to have taxes withheld when you take the withdrawal, or you may pay any taxes due when you file your tax return.

We recommend consulting a tax professional if you have questions about how an IRA withdrawal may affect your specific tax situation.