One Rollover Rule dealt a blow – TC 2014-21
The tax court has found that the one rollover per IRA account per 12 months actually means one rollover per ALL of your IRA accounts in that period of time. Various IRA account schemes to borrow funds for long periods by establishing several IRA accounts has now become a risky idea:
Permalink Submitted by Bruce Steiner on Wed, 2014-02-05 03:38
The Tax Court said the same thing twice before. Bidyat K. Bhottadayya, T.C. Memo 2007-19: http://www.ustaxcourt.gov/InOpHistoric/Bhattacharyya.TCM.WPD.pdf; Marshall H. Martin, T.C. Memo 1992-331.
Permalink Submitted by Alan - IRA critic on Thu, 2014-02-06 00:07
Ascensus now pressing the IRS for a formal position on this matter:http://www.ascensus.com/CompanySite/Utility/News/index.htm?NewsID=1709