Posted by Hugh Gaugler on April 01, 2006 at 14:24:22:
Thanks John. I suspected that the “special” designation was really nothing but a “sales hook”. And I do understand about the self-dealing no-no.
I’m curious about one more thing. If an Roth IRA does own a business, such as 100% of an LLC for example, and given that the business is operated totally by the books (no self-dealing, etc.), would the profits really not be subject to any tax?
On the other hand, if the profits of IRA owned business are subject to tax, then what’s the point of having one?