This is especially true for my one-year-old son, who seems to be going 100 mph, 100% of the time. But it obviously also applies to us in the financial industry, where we have to keep track of the ever-changing rules that guide us and our clients' decisions.
As I had mentioned in my two previous blogs (Update on IRA Indirect Rollover Rules: The IRS Has Spoken and Please Read Instructions Before Rolling IRAs), in 2014, the U.S. Tax Court (in Bobrow v. Commissioner) ruled that the indirect IRA-to-IRA rollover rule allowing one rollover per 12 months should be applied on an aggregate basis (looking at all of a particular taxpayer's IRAs). Since, at the time, this was different than the interpretation found in IRS Publication 590, the IRS then stated through IRS Announcement 2014-15 that "it will follow the interpretation of Section 408(d)(3)(B) in Bobrow," and followed that up later in 2014 with IRS Announcement 2014-32, which was intended to address certain concerns that had arisen since the release of IRS Announcement 2014-15. The following key points were addressed and clarified in this latest announcement:
In the end, some rules bear repeating, and I felt that one more reminder of this quite significant change wouldn't hurt, especially since it seems many of us have a life more similar to my one-year-old son, going 100 mph, 100% of the time.
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