FrankSpeech Network Inc (INCTD)

[Goldrush2001]

Cats,
Regarding using an IRA account to invest in GZFX (or any high income investment). Be careful if you also have a taxable investment account. If you take big profits in the taxable account you may lose the eligibility to contribute to an IRA (Traditional or Roth) that same year. I just researched this last night.

If your taxable income gets too high you not only have to remove the funding of the IRA for that year, but also any earnings that funding generated. You then have to pay taxes on those earnings.

I am in the same boat. Most of my GZFX shares are in my Roth IRA but I also have some shares in my taxable account. If GZFX should rocket to the moon this year I dare not sell the taxable shares because they would raise my income high enough to cause me to forfeit all of the Roth IRA non-taxable profits (or at least make me pay mucho taxes on them). For this reason I am not going to contribute to my IRA next year. Hopefully GZFX will fund it very nicely for me instead.

Go to www.irs.gov to find the "modified AGI" income you must remain under to be eligible to contribute to an IRA. It varies depending whether you are married, single, file jointly, etc.

Best of Luck.
Ron