Question

All the following are advantages for wealthier clients of converting a traditional IRA to a Roth IRA, EXCEPT: (A)​If estate taxes are paid from the Roth IRA, the tax benefits of conversion are increased. (B)​No minimum distributions are required from the Roth IRA during the owner’s lifetime. (C)​If a spouse is the beneficiary of the Roth IRA, no minimum distributions are required during the spouse’s lifetime. (D)​The tax-deferred growth can extend for more years with the Roth IRA than with a traditional IRA.

Answer 1

Answer: D) is wrong because. Roth IRA contribution are after deducting tax and therefore no tax deferred arrangements is there. Therefore under Roth IRA contribution are growing tax free.