Client took RMD before Covid!
Client took RMD before COVID in January. Not effected by COVID personally (retired and didn’t have it, nor did his spouse). Any thoughts on getting RMD back in IRA?
- The HEROES Act, passed by the House, but not favored by the Senate majority leader or the President, would provide relief for distributions in January that would have been required distributions but for the CARES Act.
- Since this provision of the HEROES Act shouldn’t be a partisan issue, there’s a chance it might be included in the next round of legislation.
Permalink Submitted by Alan - IRA critic on Wed, 2020-06-17 15:31
So far there has been no rollover relief granted for January distributions. Client will have to wait to see what Congress may allow in the next stimulus legislation. It is well known that many January distributees are unhappy that relief has only been granted for Feb and later distributions. If rollover relief is granted for January distributions, client needs to be made aware of that since such rollovers will have a deadline date. Further, client will remain subject to the one rollover limit in a 12 month period starting 12 months prior to the January distribution date even with rollover relief being granted. The other possibility is Congress expanding corona virus distributions to everyone for 2020 distributions, so client has two possibilities to monitor.