Do I have to report an IRA transfer on my taxes?

Posted on: August 3, 2022

Since the money moves directly between custodians and is never placed in the accountholder’s hands, a transfer and direct rollover are non-taxable and non-reportable transactions.  

However, an indirect rollover should be reported on your federal tax return. This is because you will be receiving the funds as a distribution before placing them into your other IRA. The distribution is reported on Form 1099-R and the rollover (deposit) is reported on Form 5498.