Are you looking to wire funds from an IRA held at a different brokerage to your IRA account at tastyworks? Or, perhaps you're looking to wire funds from your tastyworks IRA to an IRA held at a different brokerage? Whatever your objective, you'll need to gather some paperwork before sending a wire to or from tastyworks.


Sending a wire transfer from an IRA held at an outside brokerage to your tastyworks IRA is generally the quickest way to transfer cash between IRAs held at different brokerage firms. A wire transfer between IRAs is not a taxable event, but the wire transfer does report to the IRS. Please read the instructions below carefully to prevent delays or tax complications.


One last thing, you may only transfer cash via wire transfer, so if you want to transfer cash and positions, then you must perform the account transfer via ACATS instead. However, you can still perform a cash transfer via ACATS as well. Furthermore, an ACATS transfer is generally a non-reportable (taxable) event. For more information transferring via ACATS, please click here.


TABLE OF CONTENTS


Instructions for sending a wire TO a tastyworks IRA

Fill out an IRA Deposit Slip and request an LOA before sending the wire TO tastyworks

Before sending a wire from an IRA held at a different brokerage to tastyworks, you'll need to prepare the following three items ready before sending a wire to tastyworks:

  1. Have a like-IRA (Roth or Traditional) already open at tastyworks

  2. Fill out an IRA Deposit Slip
    You can download and fill out an IRA Deposit Slip by visiting our Forms and Agreements page, by clicking here. Please complete the IRA Deposit Slip and select Transfer from Identical IRA within the Contribution Information section. Please send completed IRA Deposit Slips to accounts@tastyworks.com or by fax at 312-724-7364.

  3. Request a Letter of Acceptance (LOA) from tastyworks (if applicable)
    Some firms may require an LOA from tastyworks before they send the wire. If that is the case, you may request an LOA by writing to our accounts team at accounts@tastyworks.com. Please include your most recent IRA statement and confirm the last three digits of your tastyworks IRA when reaching out to our accounts team.


To prevent any tax complications when transferring funds between an outside IRA to a tastyworks IRA, you must provide the firm sending the wire a Letter of Acceptance (LOA) if they require one. Providing an LOA before sending the wire will ensure that the distribution code aligns with the contribution code indicated on the tastyworks IRA Deposit slip.


Instructions for sending a wire FROM a tastyworks IRA

Fill out a Distribution Form and request an LOA before sending the wire FROM tastyworks

Before you send a wire from a tastyworks IRA to a like-IRA account held at a different brokerage, you will want to prepare the following four items.

  1. Have a like-IRA (Roth or Traditional) already open at receiving firm

  2. Fill out an IRA Distribution Form (for Traditional IRAs) or a Roth Distribution Form
    You can download and fill out an IRA Distribution Form or Roth IRA Distribution Form by visiting our Forms and Agreements page, by clicking here. Please complete the appropriate distribution form and select Transfer from Identical IRA and Transfer of Assets Between Brokers within the Type of Distribution section.
     
  3. Request and fill out an Apex Clearing Third-Party Wire Form
    Despite the title of the form, sending a wire from a tastyworks IRA to an IRA held at a different firm is not considered third-party. However, to fully process the wire, our clearing firm requires a completed Third-Party Wire Form. You may request a Third-Party Wire form by writing to our accounts team at accounts@tastyworks.com.

  4. Request a Letter of Acceptance (LOA) from the receiving firm
    An LOA ensures that the wire tastyworks sends on your behalf will have the proper distribution code applied to the wire transfer. You will need to reach out to the firm receiving the wire to provide tastyworks with an LOA.


Please send your completed Distribution Form, Apex Clearing Third-Party Wire Form, and LOA to our accounts team at accounts@tastyworks.com or by fax at 312-724-7364.


To prevent any tax complications when sending a wire from a tastyworks IRA to a like-IRA held at an outside firm, you must provide tastyworks a Letter of Acceptance (LOA) from the receiving firm before sending the wire. Providing an LOA to tastyworks before sending the wire will ensure that the distribution code aligns with the contribution code you indicate at the delivering firm.



Will I receive any tax documents if I wire funds between IRAs?

When you send a wire TO a tastyworks IRA

When you wire funds to a tastyworks IRA, your IRA will receive IRS Form 5498, indicating the contribution made to your tastyworks IRA.

When you send a wire FROM tastyworks

When you wire funds from a tastyworks IRA, your IRA will receive IRS Form 1099-R, indicating the distribution you made from your tastyworks iRA.


To view our Tax Document calendar, please visit the Tax Center.