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election is made by designating to the trustee, issuer,
or custodian of the eligible retirement plan that the
contribution is a rollover contribution. This election
is irrevocable. Once any portion of an eligible
rollover distribution has been contributed to an
individual retirement plan and designated as a rollover
distribution, taxation of the withdrawal of the
contribution from the individual retirement plan is
determined under section 408(d) rather than under
section 402 or 403. Therefore, the eligible rollover
distribution is not eligible for capital gains
treatment, five-year or ten-year averaging, or the
exclusion from gross income for net unrealized
appreciation on employer stock. [Sec. 1.402(c)-2, Q&A-
13, Income Tax Regs.; emphasis added.]
Thus, no particular form is required by the regulations in order
to designate a contribution as a rollover contribution.
In this case, petitioner opened a “Rollover IRA” at Norwest
on July 8, 1998, and he hand-delivered his J.D. Edwards & Co.
stock certificate to Norwest on August 4, 1998, several days
after the transfer agent had mailed the stock certificate to him.
According to the receipt issued to petitioner by a representative
of Norwest, “Deposit to account” was the purpose for which
Norwest received petitioner’s stock certificate. Petitioner’s
only account at Norwest was the “Rollover IRA” which he had
opened by submitting an application to Norwest on or about July
8, 1998. Furthermore, the statement issued by Norwest for
petitioner’s IRA for the period ending August 31, 1998, reflects
a “stock rollover” of 10,323 shares of J.D. Edwards & Co. stock
on August 24, 1998. Thus, it is evident that Norwest, the
trustee, issuer, or custodian of the IRA, believed that
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