Yes, generally IRA distributions from a Traditional IRA are taxable in the year you withdraw them. Further, distributions from Traditional IRAs that you include in income are taxed as ordinary income subject to regular income tax rates. Distributions may also be fully or partially taxable depending on whether your IRA includes any nondeductible contributions. Refer to IRS Publication 590 and the Instructions to IRS Form 8606, Nondeductible IRAs for further information on whether distributions are taxable.
IRS Circular 230 Notice: The information contained in this FAQ is provided for information purposes only, is not intended to constitute tax advice which may be relied upon to avoid penalties under any federal, state, local or other tax statutes or regulations and does not resolve any tax issues in your favor. Refer to IRS Publication 590, Individual Retirement Accounts for additional information on IRAs in general and consult your tax advisor about your individual tax situation.