RMDs Have Been Suspended for 2020: What if You've Already Taken Them?

The Coronavirus Aid, Relief, and Economic Security (CARES) Act, passed on March 27, 2020, included a provision allowing retirees to forgo taking Required Minimum Distributions (RMDs) from retirement accounts such as IRAs, 401(k)s, Roth 401(k)s and inherited accounts. However, many individuals took RMDs from their IRAs before Congress passed the CARES Act. Are those individuals able to return their RMDs to their IRAs without any penalty?

According to the IRS, in Notice 2020-51, an IRA owner who took their RMD can repay it to the IRA, if done so by August 31, 2020. The Notice also states that this repayment is not subject to the one rollover per 12-month period limitation.

If you have questions about your RMDs, the CARES Act, the PPP loan program, or how the SECURE Act impacts your beneficiary designation to the IRA (or other retirement accounts), please contact us to schedule an appointment.

Share This Story, Choose Your Platform!


Receive our new blog articles in your email inbox.
  • This field is for validation purposes and should be left unchanged.


Recent Posts

linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram