# Closed My SEP IRA But I Have A Question on The RMD Rule



## fmdog44 (Jan 29, 2019)

Today I closed out my SEP IRA with Merill Lynch and did not have them take out any tax. So what about the RMD rule for 2019? Does this have any place in this account now that I closed it out?


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## mathjak107 (Jan 29, 2019)

fmdog44 said:


> Today I closed out my SEP IRA with Merill Lynch and did not have them take out any tax. So what about the RMD rule for 2019? Does this have any place in this account now that I closed it out?


where is the money you closed out ?


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## fmdog44 (Jan 29, 2019)

mathjak107 said:


> where is the money you closed out ?


Redeemed and moved to a CD from another bank.


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## mathjak107 (Jan 30, 2019)

fmdog44 said:


> Redeemed and moved to a CD from another bank.


i would think that is fine .. i am not up to rmd's yet so i don't know everything but  as long as the dollars meet the amount it should be okay as far as i can see


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## wvnewbie (Jan 30, 2019)

I think it (the cash) is considered ordinary income which is taxed.  May not be much depending upon your AGI.


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## wvnewbie (Jan 30, 2019)

...and:  Your age?

You can take *distributions* from your *IRA* (including your *SEP*-*IRA* or SIMPLE-*IRA*) at any time. There is no need to show a hardship to take a *distribution*. However, your *distribution* will be includible in your taxable income and it may be subject to a 10% additional *tax* if you're under age 59 1/2

N.B. - I didn't think that "_includible_" was a real word...<g>...  My guess would have been that it was a type of the octopus species.


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## mathjak107 (Jan 31, 2019)

rmd's apply to 70-1/2 so i would assume that is why they are asking about rmd's


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## fmdog44 (Jan 31, 2019)

Went on irs.gov and I'm in the clear so I an have 60 days to roll it over in to another ira acct. but I do't think I will. I'll pay the tax and move on.


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