miatax Posted October 7, 2009 Report Share Posted October 7, 2009 Client (92 years old) wants to change banks. He got into a fight with the former bank and does not want to speak with anyone there. He wants to move his IRA to a new bank. He was already automatically set up for RMD, but I want to be sure he doesn't get taxed when taking the money out to rollover to the new bank. Does the form requesting specific tax free 'rollover' have to come from the old bank or can it all be done through the new bank? Client showed me application from new bank but does not mention anything about the 'source' of the funds. Quote Link to comment Share on other sites More sharing options...
mcb39 Posted October 7, 2009 Report Share Posted October 7, 2009 The new bank should be able to handle it as long as he is making the request correctly and supplying them with the source. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted October 7, 2009 Report Share Posted October 7, 2009 It is best that he do it as a trustee to trustee rollover with the new bank handling it all. He never touches the funds, thus there is no chance of any of it being taxable. And, of course, if he does not need it, this one year he can elect to skip the RMD. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.