06/07/2026
For many Americans, the Roth IRA represents a foundational component to any solid financial plan: post-tax contributions throughout your earning years will result in tax-free growth and tax-free withdrawals available to you from age 59.5. Those diligent contributions will pay off in retirement, you’re promised.
Then Europe enters the picture and presents you with a question that becomes increasingly (and alarmingly) complicated: Are Roth IRA withdrawals taxable in Europe?
The short of it is, that, with few exceptions (notably France), it doesn’t matter if you’re moving to Spain, Italy, or Portugal: your Roth IRA distributions stand to be taxed in some capacity at the local level.
But the longer, more important answer that is the purpose of this article is twofold. "The Roth IRA wrapper is generally recognized, meaning that foreign taxes tend to apply only on the distributions, not the growth or gains," explains Nicolas Castillo, Founder and CEO at Rook International CPAs and Advisors. "Additionally, how Roths are treated—and how useful they remain—depends heavily on where you live, how your broader finances are structured, and how early you plan."
Read more in the full article, "What Happens to Your roth IRA If You Retire to Europe?"
We provide cross-border financial planning and wealth management services for Americans living in Europe, focusing on France, Italy, Spain, Portugal, and Malta. Connect with a U.S. expat financial advisor today.
