IRA Deposit
An advisor friend of mine attempted to make an IRA deposit for a client prior to the IRA deposit deadline. They are not sure if it is on the advisor or on the custodian side but somehow the money never actually was deposited. The advisor has documentation from the day of the deposit that indicates the intent to make the deposit. Is there any precedence for this? Since there is documentation showing the attempt, can the client make the deposit now and count it for the prior year?
Permalink Submitted by Alan - IRA critic on Thu, 2018-06-28 16:02
There is no acceptable deposit unless the custodian will accept it and issue a 5498 reporting a contribution for 2017. Since those forms have already been processed (deadline end of May for prior year), the chance of the custodian accepting a contribution now is very slim unless it is clear that the custodian is 100% at fault for the contribution not being made. It is not clear what the status of the check is, but if cashed it was probably recorded as a 2018 contribution.