NOTEWORTHY

IRS Provides Additional Guidance Under CARES Act

On Tuesday, June 23, the IRS provided additional guidance on the waiver of required minimum distributions (RMDs) in 2020 under the CARES Act.

Until this notice was issued, it was not clear if RMDs distributed prior to February were eligible for rollovers. In addition, due to a rule that allows only one rollover every 365 days, the ability to rollover more than one distribution was also in doubt.

Notice 2020-51 allows anyone who received RMDs in 2020 to rollover any or all of those distributions, as long as the rollover(s) is completed by 8/31/20.

Although non-spouse beneficiaries of inherited IRAs generally are not eligible for rollovers, the Notice also allows these individuals to rollover RMDs, subject to the 8/31/20 deadline.

Please contact your Senior Trust Officer if you would like to rollover any 2020 RMDs or wish to further discuss this matter.

 

Important Disclosures