RMD
Calculating RMD for client…Assets were in a CD and transfered to mutual funds at end of year 2007. The 12/31/2007 CD statement shows $0 balance since assets were transferred 12/28/07. The mutual fund family received the transferred funds on Jan. 02, 2008 in “A” shares. In the calculation do we use the Jan. 02, 2008 value of $ amount transfered or the NAV that was net amount that was invested?
Thanks.
Permalink Submitted by Alan Spross on Thu, 2008-06-19 03:10
For the 12/31/07 account balance, use the amount that was received in the rollover IRA. That would include the commission used to purchase the A shares. Ref: Outstanding rollovers, Pub 590, p 35.