Undeveloped Land In An IRA

Good morning,

Our client has land in a self-directed IRA worth $80,000. His RMD is $40,000. A best case scenario for us would be to recognize the RMD amount on his tax return this year and next year, but not do a distribution of assets until next year. This would allow us to keep from having to split the parcel into two pieces, and distribute one each year.

I’ve found nothing that would accommodate this scenario, but thought I’d ask, in case anyone had seen such. Thanks in advance for any input you may have.

Warm regards,

Randy Brunson



Randy, if his RMD is 40k, he must have a total IRA value in the high 6 figures. So why not satisfy the RMD using other IRA assets? RMDs can be aggregated, meaning that the total RMD can be satisfied in any combination from all his IRA accounts.



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