Indirect Rollover Rules
IRA owner takes a $150k distribution on May 1st. On May 15th, $75k is deposited back into that same IRA. On May 30th, the remaining $75k is deposited back into that same IRA. No other rollovers or distributions have occurred (ever). Have any of the indirect rollover rules been violated in this scenario? Thx,
Permalink Submitted by Alan - IRA critic on Wed, 2024-04-24 14:59
No. The one rollover in 12 month limitation is measured by the distribution, not the rollover deposit. In this case there was only one distribution and that distribution can be rolled back in as many separate transactions as needed, as long as all of them are done within 60 days.