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New Member
posted May 8, 2024 6:26:43 PM

I took an IRA withdrawal to be place back in the IRA within 60 days to avoid a taxable event. Does IRA qualified funds to beplaced in the same IRA or just an IRA product?

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1 Best answer
Level 15
May 8, 2024 6:31:27 PM

No you can put it in another IRA account.  It will be a rollover.  If they took any federal or state tax withholding out then be sure to replace it from your own money or the withholding will be a taxable distribution and a 10% Early Withdrawal Penalty if you are under 59 1/2.  

2 Replies
Level 15
May 8, 2024 6:31:27 PM

No you can put it in another IRA account.  It will be a rollover.  If they took any federal or state tax withholding out then be sure to replace it from your own money or the withholding will be a taxable distribution and a 10% Early Withdrawal Penalty if you are under 59 1/2.  

Level 15
May 9, 2024 9:13:23 AM

Any IRA account.  For tax purposes, you are considered to have just one "individual retirement arrangement" no matter how many accounts you have at different banks or brokers.  

 

As said, remember that if there were taxes withheld, you still need to put the gross amount back, not the net amount.  If you put the gross amount back (by getting the extra cash from some other source) the withdrawal will be non-taxable and you will get the withholdings back as part of your tax refund.  If you put the net back, then the tax amount will count as a taxable withdrawal.