IRA Withdrawal of Securities & Putting Cash Back In
Have a client who is interested in moving out $100K worth of a security in an IRA. If the client pays back the IRA within 60 days using cash, is that an allowable/permissible way to pay back the IRA or does it need to be paid back with the security that was taken out?
Permalink Submitted by Alan - IRA critic on Tue, 2016-03-15 17:16
For in kind IRA distributions, a rollover can only be done by rolling over the same property received in the distribution. That means cash cannot be substituted including cash generated from the sale of the property.Therefore, in kind distributions should only be taken when no rollover is intended.