A Quiz on the Use of Individual Retirement Accounts

21 True False Questions: Test your knowledge

Question 1: True or False: The sole tax advantage of conventional IRAs is the tax deduction in the year the contribution is made, and the sole tax advantage of Roth IRAs is the tax savings in retirement.

FALSE: People can trade inside both a conventional and Roth IRA without paying any federal or state income tax on capital gains, interest, or dividends …