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Can Education IRA Assets Be Moved?

You can roll over assets from one education IRA to another. You canalso change the designated beneficiary or transfer the beneficiary'sinterest to a spouse or former spouse.

Rollovers

Any amount withdrawn from an education IRA and rolled over toanother education IRA for the benefit of the same designatedbeneficiary or a member of the designated beneficiary's family is nottaxable. This rule applies only if the beneficiary of the new IRA isunder age 30 on the date of the rollover contribution to the new IRA.

Scheveningen TipsAn amount is rolled over if it is paid to another education IRAwithin 60 days after the date of the withdrawal.

Members of the beneficiary's family.The beneficiary's spouse and the following individuals (and theirspouses) are members of the designated beneficiary's family.

  1. The beneficiary's child, grandchild, or stepchild.
  2. A brother, sister, stepbrother, or stepsister of thebeneficiary.
  3. cheap hotels in Aix en ProvenceA son or daughter of the beneficiary's brother orsister.
  4. The father, mother, grandfather, grandmother, stepfather, orstepmother of the beneficiary.
  5. A brother or sister of the beneficiary's father ormother.
  6. The beneficiary's son-in-law, daughter-in-law,father-in-law, mother-in-law, brother-in-law, or sister-in-law.

Caution:

Only one rollover per education IRA is allowed during the 12-monthperiod ending on the date of the payment or distribution.

Changing the Designated Beneficiary

The designated beneficiary can be changed to certain members of thebeneficiary's family (listed earlier). There are no income taxconsequences if, at the time of the change, the new beneficiary isunder age 30.

Transfer Because of Divorce

hotels in OsloThe transfer of a designated beneficiary's interest in an educationIRA to his or her spouse or former spouse under a divorce orseparation instrument is not a taxable transfer. After the transfer,the interest will be treated as an education IRA in which the spouseor former spouse is the designated beneficiary.

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