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IRA 60 day rollover short-term loan


austin3515
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If an amount is withdrawn under the 60 day rollover rule, must the "loan" be repaid to separate IRA or can it simply deposited to the originating IRA?

It seems to me that the point of the rule is to allow you to move from one IRA custodian to another. Is there anything clear on this topic from the IRS or some other big time source (perhaps the large accounting firms)?

Austin Powers, CPA, QPA, ERPA

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I've never heard of it having to go to a different IRA.

I always though the point of the rule was more, "oops I changed my mind I don't really want to liquidate my retirement savings and pay taxes and penalties."

The 1 rollover per year rule (with tightened guidelines about 1 per taxpayer per year) is designed to stop the abuse of the rolling interest free IRA loans.

You can still to direct transfer of IRA -> IRA as often as you want through trustee -> trustee transfer.

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