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Author: reitsbyziggy One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 24252  
Subject: Re: Alliant Credit Union & IRA's Date: 3/4/2012 11:48 AM
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Thank you so much for making me aware of this! So really the Roth IRA looses some of its luster because it has to be liquidated over time. It makes sense because the IRS doesn't want the tax free gains to theoretically continue forever. I am just starting to learn and brush up on some of this. I am a retired accountant by trade(not CPA) and will be reading the IRS Pubs etc to bone up on this topic.

I know my mom made her 2012 RMD before death on the traditional IRA. It looks like I have to start taking an RMD on the Roth IRA starting in the year following the year of death or face a 50% excise tax penalty. So glad you gave me a heads up on this!

Is it correct to assume that if I do a direct Trustee to Trustee transfer there will be no Form 1099R send to me from the sending Trustee? I can't figure out if the sending Trustee will also furnish a Form 5498 to me with an amount in Box 5 or if just the decendent receives a Form 5498 with the Fair Market Value at the date of death in Box 5 from the sending Trustee.

I assume I would get a Form 5498 for a year end 2012 balance(Box 5) and a 1099R for any distributions made to me in 2012 from my (Recipient) Trustee.

If you don't know the answers that's fine but you certainly seem up to speed on this so I wanted to pick your brain some more. Many thanks.
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