restriction on number of times a person can "replace" an ir

[maverick]

A 57 year old retired client took a 200k distribution from his IRA earlier this year, then "replaced" it within 60 days. A few months later, he took another 200k distribution, and again tried to re-deposit the $$ within 60 days, but the broker refused to accept the funds. The client was told that only 1 of these transactions is allowed per year. Does anyone have a cite that addresses this situation?

Thanks. Maverick.

p.s. He took the distributions to invest in the market.

[wmyer]

The broker is correct. See for example Publication 590, "Rollover from One IRA into Another" (page 15 of the 1999 version). There's a section entitled "Waiting Period between rollovers."

[Appleby]

That is correct assuming the IRS over has one IRA. However, if the IRA owner had multiple IRAs, the limit would be on the distributing IRA or distributed assets.