If you are thinking about taking a distribution form your IRA do not forget that if you are under 59 ½ you will have a 10% penalty to pay as well as increased federal and state taxes on the withdrawal.
If you are rolling over any part of an IRA you have 60 –days to complete the transactions. However, the IRS has offered reasons that may get the penalty waived:
- Bank error
- Death or serious illness of the account owner or family member
- Misplaced or losing the check
- Severe damage to principal residence
- Postal error
- Depositing into a wrong bank account
- Restrictions imposed by a foreign country
- Distributing company not providing required information to the receiving company
- An IRS levy where proceeds have been returned
Tammy Hastings is here to help, providing bookkeeping and tax service to individuals and businesses in Central Point, Grants Pass and Medford, Oregon.
Tammy Hastings Bookkeeping and Tax Service
55 South 5th Street, Ste. N
Central Point, OR 97502