IRA implications for abondoning greencard

[sn75024]

I have held green card for 18 years. About 8 years back I left US because of family responsibilities and applied for re-entry permits for couple of years but then stopped visiting the US every year for the last 5years. When I applied for tourist visa recently, they told me that I still had my greencard and cannot process tourist visa. I have IRA in the US (transferred from employer 401k while I worked there). If I file I-407 (to give up my greencard), how will my IRA be impacted? Can I leave the funds in my IRA as is until I turn 59 1/2 and then withdraw (after paying due taxes of course)? Thanks

[newacct]

I have held green card for 18 years. About 8 years back I left US because of family responsibilities and applied for re-entry permits for couple of years but then stopped visiting the US every year for the last 5years. When I applied for tourist visa recently, they told me that I still had my greencard and cannot process tourist visa. I have IRA in the US (transferred from employer 401k while I worked there). If I file I-407 (to give up my greencard), how will my IRA be impacted? Can I leave the funds in my IRA as is until I turn 59 1/2 and then withdraw (after paying due taxes of course)? Thanks

There is no effect. People who don't have green cards can contribute to IRAs too, as long as they had earned income in the US that year. You can leave money in IRAs and withdraw from them when you would otherwise withdraw from them. You would have to file US taxes when you withdraw.