How Your IRA Contribution is Reported to the IRS

Gary Alt |

The IRS requires all custodians of IRA accounts (i.e., banks, brokerage firms, and mutual fund companies) to report an account holder’s contributions no later than June 1 of each year.  Custodians report these contributions to the IRS using Form 5498 and they also send a copy to you as the account holder.  Form 5498 is labelled as  “IRA Contribution Information,” and true to that name, it reports the amount of your contributions.  It will also show the value of your account on December 31, along with other information.  There are different boxes on the form for reporting contributions to different types of IRAs, including a regular IRA, a rollover IRA, a SEP-IRA, a SIMPLE IRA, and a Roth IRA.