All posts by Warren Baker

Alert: retirement account pay-in increases coming in 2019

Recent News, Tax,

The IRS has announced increases to many key contribution limits for IRAs and retirement plans starting in 2019. The 2019 payin limits for traditional IRAs and Roth IRAs jumps to $6,000.  Individuals who are age 50 and older next year can contribute an additional $1,000. The maximum 401(k) contribution rises to $19,000, and people born before … Continue reading Alert: retirement account pay-in increases coming in 2019

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Is the IRS getting more liberal with 60-day rollover mistakes? [Tip: blame your spouse!]

Recent News, Tax, , ,

In a Private Letter Ruling (PLR) dated 3/5/18 (released by IRS 5/31/18; see full document here: PLR 201822033), the IRS waived the 60-day rollover requirement for the movement of retirement funds between a qualified employer retirement plan and an IRA (i.e., the individual involved took a distribution from her qualified plan but then mistakenly didn’t … Continue reading Is the IRS getting more liberal with 60-day rollover mistakes? [Tip: blame your spouse!]

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Common IRA K-1 mistakes. UBTI? Will the IRS notice?

Recent News, Self Directed IRA, , , ,

It’s that time of year again – TAX SEASON – which, without fail, leads to many “interesting” situations/challenges for clients and their advisors.  For me, because my legal practice involves clients with “non-traditional” assets within their retirement accounts (e.g., self-directed IRAs, Solo 401Ks), my perspective on this time of year is mostly based on issues … Continue reading Common IRA K-1 mistakes. UBTI? Will the IRS notice?

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Sorry, but UBTI losses from IRA (still!) don’t “flow through” to your individual tax return

Recent News, Self Directed IRA, Tax

As you have written about extensively on this blog and within other “self-directed IRA” related articles, one of the key legal matters that SDIRAs face is “unrelated business taxable income” (UBTI) – i.e., current tax from the SDIRA’s investments.  Generically speaking, UBTI occurs in two situations: (1) the SDIRA earns income (directly or through a … Continue reading Sorry, but UBTI losses from IRA (still!) don’t “flow through” to your individual tax return

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They’re BACK! … GAO conducting a third study of SDIRA marketplace

Recent News, Self Directed IRA, Tax, ,

Earlier this week, I had my third official interview with the Government Accountability Office (GAO).  First, a little history…I was first contacted by the GAO in late 2013, for a study they had been asked to conduct ((by Senator Ron Wyden, D-OR) on so-called “Large Balance IRAs” (a real “eye of the beholder” term!).  This … Continue reading They’re BACK! … GAO conducting a third study of SDIRA marketplace

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Quoted in Forbes piece on Roth IRA/LLC case (Block Developers, LLC v. Commissioner)

Recent News, Self Directed IRA, Tax

  There has been some rumbling (at least in my world) over the past few weeks regarding another Tax Court dealing with Roth IRAs and “excess contribution” issues.  The case, Block Developers, LLC v. Commissioner, involves four family members (father, mother, two children) that formed Roth IRAs and attempted to shift income that would otherwise … Continue reading Quoted in Forbes piece on Roth IRA/LLC case (Block Developers, LLC v. Commissioner)

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Winner Winner Chicken Dinner!

Recent News, Self Directed IRA, Tax

I am very pleased to announce that the article I co-authored with the esteemed Natalie B. Choate (“The Care and Feeding of Large IRAs” – Trusts & Estates magazine, December 2016) has won the Distinguished Author “Thought Leadership” Award.  More information regarding this award can be found here: http://www.wealthmanagement.com/estate-planning/2017-trusts-estates-distinguished-authors-awards Might need to make an appearance in NYC … Continue reading Winner Winner Chicken Dinner!

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Trusts & Estates Thought Leadership Award Nominee Announcement

Recent News, Self Directed IRA, Tax,

  I am honored to announce that the article I co-authored with esteemed tax attorney Natalie B. Choate, entitled “The Care and Feeding of Large IRAs“, has been selected by Trusts & Estates magazine’s editorial team for a “Thought Leadership award”.  A survey will be sent (via email) on Thursday, June 1st to all Trusts & … Continue reading Trusts & Estates Thought Leadership Award Nominee Announcement

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Rinse and repeat: will tax reform lead to more retirement account “revenue” tricks?

Recent News, , ,

  I was recently reading an article by Mark Miller (columnist for Reuters), entitled “Will Republicans fund tax cuts by tapping retirement piggy bank?” (see his complete article at the bottom of this post), and it reminded me of an article I wrote in 2010 related to in-plan 401k Roth conversions and the way in … Continue reading Rinse and repeat: will tax reform lead to more retirement account “revenue” tricks?

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Quoted in Wall Street Journal article on UBTI (“Are Taxes Lurking in Your Tax-Free Retirement Account?”)

Recent News, Self Directed IRA, ,

Many IRA investors are completely unaware that an IRA’s investments (whether made out of a “Traditional” or Roth IRA) can potentially produce currently taxable income to the IRA itself – resulting in both tax to the IRA, but also a special tax return filing (Form 990-T).  In the “self-directed IRA” world, this is particularly a problem … Continue reading Quoted in Wall Street Journal article on UBTI (“Are Taxes Lurking in Your Tax-Free Retirement Account?”)

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