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In contrast to a Roth IRA, contributions to a traditional IRA may be tax deductible if
certain eligibility requirements are met, but withdrawals are included in the account
owner's income (and thus subject to income tax). Another advantage of the Roth IRA
over a traditional IRA is that there are fewer restrictions and requirements on withdrawals.
With both types of IRA, transactions inside the account (including capital gains, dividends,
and interest) incur no tax liability.