Writing calls while taking 72(t) distributions

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L1: Writing calls while taking 72(t) distributions
I have not been able to determine if writing covered calls in an IRA while SEPPs are being withdrawn will bust the account. Can anyone help?
2018-05-16 18:07, By: MC77386, IP: []

L2: Writing calls while taking 72(t) distributions
I do not see why this would be an issue, as long as your IRA owned the securities that you were writing covered calls on.
The IRS for many years did not issue regulations about deducting losses individually and buying the same stock within an IRA. Finally, a year or 2 ago they announced that the individual and the IRA were considered to be the same “unit”, and therefore would not allow a deduction for losses if the stock was bought within 31 days before or after the loss sale.
2018-05-16 19:32, By: dlzallestaxes, IP: []

L2: Writing calls while taking 72(t) distributions
No issue really. I write covered calls all the time in my SEPP IRA. Just another investment. I am not taking any money out (distributions) or adding (new contribution) money in to my IRA so I am not modifying my 72t plan. And sense I will the RMD method for calculating my annual withdraw, I only care about the end-of-year account balance and my life expectancy number to determine the payment amount. Writing covered calls, if successful, would only serve to add to my account balance (assuming no offsetting capital losses). Also, using the amortization method, you only care about the initial account balance at the start of the SEPP, and use that same amount for the rest of the years of your plan. So no issue.
2018-05-24 14:56, By: copleyma, IP: [2600:1700:c541:1490:5009:df84:71b0:dc14]