Qualified Disaster Traditional IRA Distribution for Hurricane Harvey
I am trying to figure out a few things before I do a dumb in 2018. This question will apply to my 2018 tax return.
I live in Houston, Texas and during Hurricane Harvey I was effected and loss mainly personal property in my garage. I am currently selling my home right now and my close date is 7/20 and there are some conditions of the buyer that relate to Harvey damage. Here is what I would like input on:
Per IRS Publication 590 in Chapter 3 it appears that if you meet 3 qualifications: 1 - Distribution made after August 22, 2017 and before January 1, 2019 (check); 2 - Main home located in a qualified disaster area on August 23rd, 2017 (check); 3 - Sustained economic loss because of Hurricane Harvey (check - I claimed personal property loss on my 2017 tax return, this would be in addition).
If I take a distribution from my Traditional IRA (I am not 59 1/2 by the way) but I meet all of the above Disaster criteria, will this count as a qualified disaster distribution and be exempt from the 10% penalty? Also, this will be coming out of a Traditional IRA and therefore the income is taxable and from what I gather, I only have to claim 1/3rd of the distribution as income over a 3 year period (2018, 2019, 2020) at the respective $25,000/year. Is this correct, am I missing something? Can someone point me to the proper reporting form for disaster related retirement distributions (or did I not read far enough in Pub 590)?
If I wanted to repay this distribution, it says I can repay it to an eligible retirement plan within 3 years of the date of distribution. My question here, it doesn't specify that it has to go back into the same account as the distribution... could a repay into a different (say my other ROTH IRA) retirement account?