Answers to some of the most frequently asked investing questions (FAQs) about IRAs, self directed IRA, Roth IRA and related investments.
GENERAL
- What does Quest Trust Company, Inc. do?
- Who is H. Quincy Long and why do I care?
- What is the difference between a “self-directed IRA” and a regular IRA?
- Which types of IRAs does Quest Trust Company offer?
- How much can I contribute to my IRA?
- What kinds of investments can be made in an Quest Trust Company self-directed IRA?
- As a real estate professional, how can knowledge about self-directed IRAs put money in my pocket now?
- Is it really legal to buy real estate in your IRA?
GETTING STARTED
- How do I open a self-directed IRA?
- How long does it take to open an account?
- What are the different ways I can fund my Quest Trust Company Account?
- How are my funds protected?
- What Fees Will I incur with my Self-Directed IRA?
- Who can I name as a Beneficiary to my IRA?
- Will My Will or Trust Override Who I list As My Beneficiary?
- When Does My Spouse Need to Sign the Beneficiary Form?
REAL ESTATE
- How fast can Quest Trust Company purchase an investment?
- How can I take funds out of my IRA to buy Real Estate, without having to pay taxes and penalties?
- What are the differences between buying real estate personally and buying real estate with my IRA?
- Can my IRA purchase Real Estate I currently own?
- Are the gains or income taxable from IRA Real Estate investments?
- Can my IRA make loans to others who want to buy Real Estate?
- Can I partner with my IRA or with other peoples IRAs?
- I only have a small IRA. How can I buy real estate?
- Can an IRA buy debt-financed property?
- Can I use my IRA funds to buy a foreclosed property?
- If I am a Realtor, can I receive a commission for property bought or sold by my IRA?
- Can I cut the funding check directly to the seller and then get reimbursed?
- Can I receive a fee for managing property owned by my IRA?
- Can I live or work in a property my IRA owns?
- Can I collect the rents for my IRA rental property?
UBIT/UDFI
- Is it really legal to buy real estate in an IRA?
- Can my IRA buy real estate with a loan or take over a property subject to an existing loan?
- Where can I get a non-recourse loan for my IRA?
- Is there any tax effect of having an IRA own debt financed real estate?
- If the profits from an investment are taxable to an IRA, does that mean it is prohibited?
- But if an investment is taxable, why do it in the IRA?
- If the IRA pays a tax, and then it is distributed to me and taxed again, isn’t that double taxation?
- If the IRA makes an investment subject to tax, who pays the tax?
- What form does the IRA file if it owes taxes?
- What is the tax rate that IRA’s must pay?
- Is there any way to get around paying this tax?
- Where can I find out more information?
See below for more information:
Why Your IRA May Owe Taxes: To Pay or Not to Pay? – That is the Question
By: H. Quincy Long A. Introduction Many people are surprised to learn that, as discussed below, there are 2 ways in which an IRA or 401(k) investment in an entity may cause the retirement plan to owe tax on its income or profits from that investment. This does not necessarily mean that ...
Six Widely Held Untruths About Self Directed IRAs
By H. Quincy Long for Self-Directed Source Blog There is a lot of confusion over self-directed IRAs and what is and is not possible. In this article we will discuss six of the biggest self-directed IRA myths. 1) Purchasing anything other than CDs, stocks, mutual funds or annuities is illegal in an ...
The Dangers of Checkbook Control IRAs
A very popular idea in the self-directed IRA industry is to have what some have termed a “checkbook control” IRA. These have been under attack by the IRS. Click the link below to listen to Quest Trust Company President H. Quincy Long talk about the dangers of Checkbook Control IRA ...
Checkbook IRA LLC Pros and Cons with Quincy Long Hosted by Cash Flow Depot (Teleconference)
A very popular idea in the self-directed IRA industry is to have what some have termed a “checkbook control” IRA. These have been under attack by the IRS. Click the link below to listen to Quest Trust Company President H. Quincy Long talk about the dangers of Checkbook Control IRA ...
FAQ Real Estate in your IRA
How fast can Quest Trust Company purchase an investment? We pride ourselves in our fast processing time of 24-48 hours. Please note that our processing begins when we have received the completed Direction of Investment form as well as any supporting documentation (example: properly vested sales contract). How can I take funds ...