Moving a Pension into US
I have a client who is a Citibank Employee. He is currently working in Hong Kong, however has a Swiss pension plan through Citi. He is being booted from the plan, and wants to roll-over these funds to an IRA in the States (US Citizen) and pay US taxes. We are being told that if he moves the money from Switzerland, he will be liable for taxes as if he were taking a cash distribution. Is there a way for this participant to roll-over these funds to a US IRA without incurring the taxes? Thanks very much for any insight.
Permalink Submitted by Denise Appleby on Tue, 2009-05-19 21:24
[quote=”brown225″]I have a client who is a Citibank Employee. He is currently working in Hong Kong, however has a Swiss pension plan through Citi. He is being booted from the plan, and wants to roll-over these funds to an IRA in the States (US Citizen) and pay US taxes. We are being told that if he moves the money from Switzerland, he will be liable for taxes as if he were taking a cash distribution. Is there a way for this participant to roll-over these funds to a US IRA without incurring the taxes? Thanks very much for any insight.[/quote]
A foreign retirement plan cannot be rolled over to a US retirement account. As such, those funds cannot be credited to an IRA. More on this here http://www.retirementdictionary.com/faqs/can-i-rollover-my-canadian-reti…
Permalink Submitted by F. Anthony Brown on Fri, 2009-05-29 10:49
Thanks very much for your response; that is what I was afraid of…