Message Font: Serif | Sans-Serif
No. of Recommendations: 0
It sounds like the 1099-R from the insurance company is correct (although the income isn't taxable if all the conditions of a rollover were met), but the one from the bank is not, but Carl really needs to speak with the bank and figure out why they issued a 1099-R.

Money coming out of a money market account does not cause a 1099-R. Unless the MMA was itself an IRA and them moved it to a different IRA for the new 'ExtremeTrading' thing. In which case I think they may have royally sc***ed him.

Everything seems to go fine, except that for some reason, DaisyInsurance issues Carl **2 checks totaling $30,000"**

So he thought he had $30K in the accounts and was actually paid out a total of $60K? And it didn't bounce? Is he sure he didn't have $30K in *each* account? Is there a statement from before the distribution he can look at? Don't let this one lay either - heard of the guy recently who ended up being arrested for spending money that was a mistake on the part of the bank?
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.