IRA owner dies before 60 day rollover
Husband took a premature IRA distribution and died before 1-cashing the check and 2- before the 60 day rollover. Can the surviving spouse roll the money back and if so, how does that process work?
Thanks.
Husband took a premature IRA distribution and died before 1-cashing the check and 2- before the 60 day rollover. Can the surviving spouse roll the money back and if so, how does that process work?
Thanks.
Permalink Submitted by Alan Spross on Fri, 2012-11-16 18:49
The IRS has issued PLRs allowing the post death rollover. sometimes to an inherited IRA and sometimes to the spousal beneficiary’s own IRA. PLRs 2005-20038, 2005-23029 and 2007-17021.
If the surviving spouse is both beneficiary and executor, it may be easier to convince the IRA custodian to allow the rollover. There may be issues if the surviving spouse is not the sole will beneficiary since the distribution became a probate asset. If the IRA custodian prefers an inherited IRA, the spouse can then roll that over anytime to her own IRA.