Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10 5/3/83; site pyuxa.UUCP Path: utzoo!watmath!clyde!floyd!whuxle!spuxll!abnjh!u1100a!pyuxn!pyuxww!pyuxa!wetcw From: wetcw@pyuxa.UUCP (T C Wheeler) Newsgroups: net.taxes Subject: Re: Can you borrow from an IRA? Message-ID: <598@pyuxa.UUCP> Date: Tue, 6-Mar-84 12:13:15 EST Article-I.D.: pyuxa.598 Posted: Tue Mar 6 12:13:15 1984 Date-Received: Thu, 8-Mar-84 08:06:59 EST References: <6845@cca.UUCP> Organization: Central Services Org., Piscataway N.J. Lines: 12 No you can not borrow against an IRA in any way shape or form. If you do, you lose all tax exempt status for the IRA. If someone is doing it, they will lose the tax status plus 10% penalty. It might be possible to take the IRA out on a rollover, deposit the money in a bank, take out a loan for 59 days, then pay off the loan, and put the money in another IRA. This sounds a little dumb unless you are really in need for less than 60 days. You can only do this once per calander year. I suspect that this method of obtaining a loan using an IRA would be looked on as a no no by the IRS. T. C. Wheeler