What are the tax consequences of taking a distribution in the form of a Rollover?
By rolling over your 401(k) assets to a Self-Directed Individual Retirement Account (IRA) or other qualified plan, you defer taxes until retirement or such time that you take a cash distribution from the IRA or qualified plan. A direct rollover distribution must be reported on Form 1099-R, which you will receive in January of the year following the year in which the distribution takes place. In Box 7 of Form 1099-R, the Distribution code will bea G for a rollover to an IRA orto your new employer’s plan. This code means that no taxes are required to be withheld; however, the distribution must be reported on your Form 1040 for the year of the distribution. I’d like to rollover my 401(k) distribution to a Self-Directed Individual Retirement Account (IRA), but I don’t know where to get one. Can you help? Yes. NAPS, LLC provides complete investment services, including Self-Directed Individual Retirement Accounts. Your Plan Distribution Request Package will include information on the compani
