Q169
Transfer of financial instruments from suppliers of funds to users of funds without any intermediary in between is classified as
A.
global transfer
B.
pension transfer
C.
direct transfer
AnswerD.
indirect transfer
Answer: Option C
Solution
Answer: Option C
Solution:
Transfer of financial instruments from suppliers of funds to users of funds without any intermediary in between is classified as direct transfer. A direct transfer is a transfer of assets from one type of tax-deferred retirement plan or account to another. Direct transfers are not considered official distributions and are therefore not taxable as income or subject to any penalties for early distribution.