If an individual over 59-1/2 removes funds from an IRA for an emergency need and fails to pay it back within 60 days, he owes tax on the amount removed.

Here is the question: Does this activity (removing IRA funds and fail to repay it) constitute a completed IRA Rollover even though it “failed” to avoid taxes by not being repaid in time?

Since the withdrawan funds did NOT receive special tax treatment, it would seem that the individual still has a rollover he can do this year.