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Learning, Sharing, and Teaching => Investor Alley => Topic started by: Mikez on April 19, 2020, 02:24:09 PM

Title: Arrrrgh! Can't Repay Retirement Account Withdrawal!
Post by: Mikez on April 19, 2020, 02:24:09 PM
I took a withdrawal from this IRA account as part of an 8915B Qualified 2017 Disaster Retirement Plan Distributions and Repayments plan. I would like to make a repayment to my IRA account this year.

I referred to the IRS instructions
https://www.irs.gov/pub/irs-pdf/i8915b.pdf

Quote
You have 3 years from the day after the
date you received the distribution to make a
repayment. The amount of your repayment
cannot be more than the amount of the
original distribution. Amounts that are repaid
are treated as a trustee-to-trustee transfer
and are not included in income. Also, for
purposes of the one-rollover-per-year
limitation for IRAs, a repayment to an IRA is
not considered a rollover.

My IRA is with Fidelity and after talking to them over the phone,  I was told to mail them a check with the instructions that it was to be treated as a trustee-to-trustee transfer and that it was a 8915b withdrawal repayment.

I just got a letter from Fidelity rejecting my deposit saying "Deposits into an IRA requesting deposit as a non-reportable transfer must be receved directly from the prior custodian of the assets. "

Anyone know how to proceed on this?  I would like to get this done to finish my taxes. 
Title: Re: Arrrrgh! Can't Repay Retirement Account Withdrawal!
Post by: MDM on April 19, 2020, 03:06:16 PM
Calling Fidelity again and asking them to explain what you describe here would be a reasonable step.
Title: Re: Arrrrgh! Can't Repay Retirement Account Withdrawal!
Post by: Daisyedwards800 on April 21, 2020, 03:31:11 PM
Call them and have you walk you through it.
Title: Re: Arrrrgh! Can't Repay Retirement Account Withdrawal!
Post by: bwall on April 21, 2020, 03:40:14 PM
It sounds like the name on the check that you sent in was different than the name on the account that you withdrew from.