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Ordering Rules
(redirected from Ordering Rule)

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Ordering Rules
The precedence under which assets of a Roth IRA are distributed. First, the account holder's contributions are given out, followed by taxable conversions, tax-exempt conversions, and finally earnings that the contributions have made over the life of the account.


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This is in contrast to the ordering rules that normally apply to split refunds, where the last account listed is generally considered a "plug," and any changes to the amount of refund for calculation errors are added or deducted from last accounts first (in reverse order) until exhausted.
1367-1(g) provides an elective ordering rule under which a shareholder may elect to decrease basis under Regs.
GPEX provides flow control support for both directions and completely handles PCI Express ordering rules.
 
 
 
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