Some individuals may have unique circumstances that could result in a distribution from a Roth IRA being taxed or penalized. Many of these situations rarely come up, which makes it hard to remember the usual distribution rules from a Roth IRA.
To help make this easier, there is the “What Are The Tax Issues Of Taking Distributions From My Roth IRA?” flowchart. This flowchart helps to quickly identify unique situations that could have an impact on how a distribution is taxed (and penalized):
5 year rule considerations
Impact of Roth Conversions
Distribution ordering rules
Conditions that trigger the 10% early distribution penalty
Situations that avoid the 10% early distribution penalty
Updated for 2019