Can I rollover securities in-kind from a traditional IRA to a Roth?

Is it possible to rollover securities in-kind from a traditional IRA to a Roth? Both accounts are held by the same trustee. Currently in these accounts are a combo of cash, stocks, and mutual funds. I would love to not have to sell to convert. I know that there would be taxable income on the conversion.

Financial Planning, IRAs
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June 2017

When you speak to your custodian they will tell you that the answer is yes.  If you are rolling over your entire account then that is simple, if you are rolling over part of it, you may have to select the assets or specify the percentage.  The taxable value is based on the closing value the day before the rollover.  Since for tax purposes, the conversion is similar to a distribution, you may elect to have them withhold some money and pay the IRS or you can pay the IRS with outside funds.  If the conversion is substantial, you may wish to speak with your tax person and determine if you should pay estimated taxes so that you can escape tax penalties.

June 2017
June 2017
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June 2017