Originally Posted by pb4uski
My guess would be that it counts towards the RMD in that the alternative was for the OP to pay it separately from after-tax funds. Actually, now that I think of it, it may really be more of a question for Schwab (how they will report the fee to the IRS) than for Vanguard.
Actually not a question for Schwab. They would have charged the fee whether there was going to be a forthcoming RMD or not. It's a question for the IRS. The IRS wants to see two things: (1) The IRA value as of the preceding EOY. (2) That an RMD was taken that's at least as much as the formula requires. The fact that a fee was taken for the xfer is of no concern to them.
My guess is that the xfer fee will not count towards the RMD just as any other possible account fees (some institutions charge annual IRA account maintenance fees), commissions, trading fees, etc., do not count toward RMD's.
But I'm no CPA. And the safe thing to do is assume the $50 does not count towards the RMD. We're talking very little money here.......... Maybe someone that actually knows will comment.........