Yes, you can do that, although you will still pay the same income tax in the end, one way or the other.
You can only do one indirect rollover per year from an IRA to another IRA, but there is no limit on the number of rollovers you make from a 401(k) to an IRA.
Anytime you transfer funds between retirement accounts, you have a direct or indirect option. Indirect means that the first fund sends you a check which you then forward to the second fund, possibly with a deposit in your own bank account in the meantime. Indirect rollovers must be completed within 60 days or they don’t count. Indirect rollovers are sometimes subject to withholding, which can create problems— for example, if you withdraw $10,000 and are subject to $1000 of backup withholding, you must deposit $10,000 in the new account within 60 days, so you have to find an extra $1000 dollars someplace. If you only deposit the $9000 net amount, then you have a $9000 rollover and a $1000 taxable withdrawal.
A direct transfer is performed with the first fund sending the money directly to the second fund, and you never lay hands on it. Direct transfers are not subject to withholding. Direct transfers are generally preferred because they simplify matters at tax time.
