IRS publication #590-A states that an IRA to IRA transfer in which the check made payable to another IRA Trustee (FBO: me) and then mailed to me to deposit is not a rollover. I recently made such a transfer and the sending firm insisted that it was a 60 day rollover, coded it as such, and it was hard to get it changed. Now, I'm trying to move a qualified plan from a former employer to another IRA Trustee.....and they also want to call this a rollover and will not send directly to my other trustee (that one is on hold). These are both large firms whose names you would recognize. The following is from the IRS publication and seems clear to me:
IRS publication 590-A: https://www.irs.gov/publications/p590a#en_US_2017_publink1000230589
“A transfer of funds in your traditional IRA from one trustee directly to another, either at your request or at the trustee's request, isn’t a rollover. This includes the situation where the current trustee issues a check to the new trustee but gives it to you to deposit. Because there is no distribution to you, the transfer is tax free. Because it isn’t a rollover, it isn’t affected by the 1-year waiting period required between rollovers.”
Am I somehow missing something? Seems odd that I've run into this same situation twice in the last two weeks. The IRS regs. above were exactly followed. Can anyone offer advice?