Self-Directed IRA Rules

If you don't follow the rules for self-directed IRAs, you can risk the tax-deferred status of your account. This could lead to the disqualification of the IRA and result in severe tax consequences.
 
Here is what you need to know:
 
Prohibited Transactions and Investments: Discover what investments your IRA cannot make pursuant to IRS guidelines.
 
Disqualified Individuals: Your IRA may not buy an investment from or sell an investment to a "disqualified person." Learn more about "disqualified persons."
 
Indirect Benefits: The purpose of the IRA is to provide for your retirement in the future. It is considered to be an “indirect benefit” if your IRA is engaged in transactions that, in some way, can benefit you personally today. Learn more about "indirect benefits."
 
UBIT: Learn how and when your IRA incurs tax because of leveraged investments or business income, and how to deal with the situation.
 

Please Note: This information is presented for educational purposes only and should not be construed as tax, legal, or investment advice. Whenever making an investment decision, please consult with legal, tax, and accounting professionals.