What tax will I pay if I liquidate my current Investment Account to fund my R Account? If a general investment account is liquidated to fund an R Account and a gain is realized during the liquidation, you may need to incorporate that gain into your tax return for the year when the liquidation occurred. Please consult your tax advisor for further details. Back To Top Will I be liable to pay tax on withdrawals from my General Investment portfolio? Withdrawals may require the sale of positions in your general investment portfolio. If sales are executed, a realized gain or loss will be generated, which should be incorporated into your tax return for the year when the liquidation occurred. Please consult your tax advisor for further details. Back To Top Why did I get a 1099 form when I liquidated my old investment portfolio to move it to my R Account? 1099's report all IRS-required brokerage sale transactions to both the account holder and the IRS. By completing a 1099 form, your prior custodian is simply complying with IRS procedure. Back To Top