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Level 2
posted Aug 15, 2025 4:24:55 AM

IRA BDA - duplicate RMD

Forgot that I had activated Fidelity automatic RMD withdrawal for inherited IRA and accidentally took the RMD twice. Fidelity said that I cannot return the duplicate withdrawal into the IRA BDA. I want to avoid the tax consequence and based on what I can find online, I believe that I can move the (duplicate) excess RMD withdrawal into my Traditional IRA as a rollover within 60 days. Can someone confirm that is correct please? I do not want to make the problem worse. Thanks for your help!

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1 Best answer
Level 15
Aug 15, 2025 5:47:39 AM

"I believe that I can move the (duplicate) excess RMD withdrawal into my Traditional IRA as a rollover within 60 days."

 

A 60-day rollover to your own traditional IRA is possible from a traditional IRA BDA only if you are the surviving spouse of the original IRA participant from whom you inherited the IRA.  If you are a non-spouse beneficiary, there is no option to roll over the funds to any retirement account and you'll need to include the extra distribution in your taxable income.

2 Replies
Level 15
Aug 15, 2025 5:47:39 AM

"I believe that I can move the (duplicate) excess RMD withdrawal into my Traditional IRA as a rollover within 60 days."

 

A 60-day rollover to your own traditional IRA is possible from a traditional IRA BDA only if you are the surviving spouse of the original IRA participant from whom you inherited the IRA.  If you are a non-spouse beneficiary, there is no option to roll over the funds to any retirement account and you'll need to include the extra distribution in your taxable income.

Level 2
Aug 15, 2025 7:40:15 AM

I was afraid of that, thanks for your response.