Have you recently rolled over a retirement plan or IRA, or do you plan to do so in the near future? If rolling over is in the cards for you don’t forget about the deadlines to avoid additional taxes on early distributions. There are some new rules and guidelines out there that may apply to your situation. See the full article to determine if any of these apply to your situation.
- An error by the financial institution in receiving a contribution or distributing assets relating to a contribution.
- The distribution was inadvertently deposited to, and left in an account the participant believed was, an eligible retirement plan, but was not.
- A foreign country imposed a restriction which delayed deposit of the participant’s plan asset.
“In Rev. Proc. 2016-47, the IRS published guidance to assist participants who, because of certain circumstances of hardship, miss the 60-day deadline for rolling over qualified retirement plan or IRA assets and, without a legally authorized excuse, would otherwise be required to pay additional taxes due on early distributions.”