self direct roth IRA

[Aaron Smith]

Hey BPers,

My brother, @Joshua Smith thought of this tax strategy the other day, let me know what you think:

1. create a self direct roth IRA and transfer existing IRA funds to this account

2. use this account as earnest money to get property under contract

3. wholesale these properties. The wholesale fee goes back into the self direct roth IRA.

4. This wholesale fee is tax free, and if you want to take it out, its only 10% fee.

Would this work?