RMD postponement for CARES

[Dennis G.]

I have a client who took his RMD in January 2020 for 2020 from his IRA.

Due to CARES can he put it back in the IRA now?  It has been more than 60 days since he took the RMD.

Advice please.

 

 

 

[Larry Starr]

8 minutes ago, Dennis G. said:

I have a client who took his RMD in January 2020 for 2020. (Calendar year plan year)

Due to CARES can he put it back in the plan now?  It has been more than 60 days since he took the RMD.

Advice please.

 

 

 

For now, you are out of luck.  We are hoping (maybe even anticipating) that IRS will grant additional time for these rollovers; such relief has been officially requested (among other issues). We shall see..

[RAH401(k)]

My understanding is that he might be able to. If he meets the criteria to be considered a "qualified individual" as outlined in the CARES Act,  couldn't his RMD from earlier this year qualify as a Coronavirus Related Distribution as defined by the CARES Act, which would allow him the ability to pay it back and not take the tax hit? If he doesn't meet the criteria, then I do think he is out of luck.