Taxable TSP Distribution Rolled over to Roth IRA After 60 Days
Relative took a TSP Distribution, received a 1099R and paid tax. Subsequently took the distribution funds and opened up a ROTH IRA. What are the ramifications of not opening the ROTH IRA within 60 days of the distribution.
Permalink Submitted by Alan - IRA critic on Fri, 2024-04-19 23:42
There are possible exemptions from the 60 day deadline. What was the reason for missing the deadline? If it does not qualify for exemption, the 1099R as issued will be taxable, and if under 59.5 may also be subject to penalty.