- Traditional IRAs
- Roth IRAs
- SEP IRAs
- Simple IRAs
- 403(b) Plans
- Thrift Savings Plan
- Education Savings
Last Updated February 19, 2011
A nonreportable movement of assets between retirement accounts of the same type. Generally, transfers occur between:
- Two traditional IRAs
- A traditional IRA and a SEP IRA
- From a SIMPLE IRA to a traditional IRA or SEP IRA, providing the SIMPLE has satisfied the two-year requirement
- Two SEP IRAs
- Two SIMPLE IRAs
- Two Roth IRAs
- Two HSAs
- Two ESAs
- Two qualified plans, where both qualified plans are maintained by the same employer. The terms of the movement of assets would determine if it is a transfer or a distribution & rollover.
Note: For these transactions (above) the trustee-to-trustee transfer is a nonreportable transaction, which means that no 1099-R or 5498s are issued for the transaction.
See caution in footnote:
Additional Helpful Information
- Non-reportable transfers between accounts can occur for an unlimited number of times during any period. This is unlike rolloversbetween IRAs, where only one distribution can be rolled over from an IRA to another IRA ( of the same type) during a 12-month period. For this purpose, 'same type' means:
- traditional IRA to a traditional or SEP IRA;
- a SEP IRA to a traditional IRA or another SEP IRA,
- a SIMPLE IRA to another SIMPLE IRA or to a SEP or traditional IRA after the two-year period..
- See trustee-to-trustee-transfer for more information
- If an IRA owner is of RMD age, the IRA can be transferred and the RMD can be taken from the receiving IRA or the delivering IRA. Either is OK. Under the old rules, the RMD had to be left behind and taken from the delivering IRA or taken before the transfer.
- A transfer is nonreportable and is not subject to the tax-withholding rules
 Some IRA owners may way to ‘expedite’ such transfers by having the delivering financial institution give them a check for the amount, instead of waiting for the transfer to be completed between the two financial institution- as such transfers can take days or weeks, depending on the type. Individuals who opt to have the check given to them should exercise extreme caution when the check is requested. This is even more important for inherited IRAs, as irreversible can occur when transfers are erroneously processed as distributions. The individual should:
· Check to make sure that any paperwork completed is a ‘transfer’ request and not a distribution request.
· Make it clear to the issuer that a 1099-R should NOT be issued for the amount.
· Ask the issuer for a letter or some other confirmation that the transaction is a ‘nonreportable’ transfer, and provide it to the receiving financial institution.
· Get confirmation from the receiving financial institution will deposit it as a nonreportable transaction, and ask for assurance that they will not issue a 5498 for the amount.
 Revenue Ruling 78-406