1. Short title
This Act may be cited as the “Roth IRA Flexibility Act of 2013”.
Roth IRA Flexibility Act of 2013
A BILL
To amend title XVIII of the Social Security Act to disregard amounts transferred from a traditional IRA to a Roth IRA in computing income for purposes of determining the income-related premiums under parts B and D of the Medicare program, and for other purposes.
2. Disregarding amounts transferred from a traditional IRA to a Roth IRA in computing income for purposes of determining the income-related premiums under parts B and D of the Medicare program
In general— Section 1839(i)(4)(A)(i) of the Social Security Act (42 U.S.C. 1395r(i)(4)(A)(i)) is amended by inserting “and without regard to any distribution to which paragraph (3) of section 408A(d) of such Code (relating to rollovers from an eligible retirement plan other than a Roth IRA) applies” before the semicolon.
by redesignating clauses (vii) and (viii) as clauses (viii) and (ix), respectively, and
by inserting after clause (vi) the following new clause:
“(vii) the amounts included in the taxpayer’s gross income under section 408A(d)(3) to the extent such information is available,”
Premium rebate based on certain previous distributions— The Secretary of Health and Human Services shall provide, in collaboration with the Commissioner of Social Security, to an individual a refund of the premiums paid under parts B and D of title XVIII of the Social Security Act by the individual in an amount that is equal to the difference between such premiums paid by the individual and the premiums that would have been paid by the individual if distributions to which section 408A(d)(3) of the Internal Revenue Code of 1986 relate which were made on or after January 1, 2011, had not been taken into account. The Secretary of the Treasury, acting under section 6103(l)(20) of the Internal Revenue Code of 1986 and through the Commissioner of Social Security, shall provide such information as may be necessary to carry out the previous sentence and for purposes of subparagraph (B) of such section, activities to carry out this subsection shall be deemed to be related to establishing the appropriate amount of a premium adjustment under section 1839(i) of the Social Security Act.
Effective dates—
In general— The amendment made by subsection (a) shall apply with respect to premiums for months in years beginning more than 90 days after the date of the enactment of this Act.
Disclosure authority— The amendments made by subsection (b) shall apply to requests for disclosure made after the date of the enactment of this Act (with respect to taxable years beginning before, on, or after such date).