Here's how it works: Say you receive a car, RV or boat loan through a credit union with which you also have a credit card. In the fine print of the loan contract, you'll probably see that your credit card balance is secured by the auto, RV or boat.ere's how it works: Say you receive a car, RV or boat loan through a credit union with which you also have a credit card. In the fine print of the loan contract, you'll probably see that your credit card balance is secured by the auto, RV or boat.
If you've made nondeductible contributions to your traditional IRA, you have to use Form 8606 to figure the taxable and nontaxable portion. Otherwise, the entire amount is taxable. In addition, if you take a taxable non-qualified withdrawal, you'll have to figure the 10 percent additional tax with Form 5329.
You can convert the contributions to a Roth IRA; however, a portion of the amount you convert to the Roth will be subject to income tax.ou may figure the taxable amount by using the following formula: (Total Deductible Contribution/Total IRA Balance) x Distribution/Conversion Amount = Non-Taxable Amount. Let's say you have non-deductible contributions of $8,000 in a Traditional IRA that have grown to $100,000.