Rollover reporting on 1099-R

Submitted by Adman Gilly on Wed, 2018-03-21 11:06

When I move money (direct rollover) from SEP to Traditional IRA (M Trust Co. to Wells Fargo) , should M Trust provide me 1099-R? If I move SEP to Traditional IRA within Wells Fargo would they issue 1099-R?

Trustee to trustee transfers are between same type of IRA and they are not reported, however should eligible Direct rollovers (not 60 day rollovers) get reported on 1099-R?
Eligible rollovers-
https://www.irs.gov/pub/irs-tege/rollover_chart.pdf



Submitted by David Mertz on Wed, 2018-03-21 13:58

  • The movement of funds directly between a SEP-IRA and another traditional IRA account that are not paid to the participant at any point in the process is a trustee-to-trustee transfer, not a direct rollover.  Since a trustee-to-trustee transfer is neither a distribution nor a rollover, no Form 1099-R should be generated by the SEP-IRA custodian and no rollover contribution should be reported on a Form 5498 issued by the receiving custodian.
  • “Direct rollover” is the term used to identify a rollover to or from a qualified retirement plan that is *not* an IRA when the funds are not paid to the participant at any point in the process.

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