What is an eligible rollover distribution? What are the tax consequences if an eligible rollover distribution is rolled over? Are there any eligible rollover distributions that may be rolled over beyond the 60-day window?
Read More
The IRS recently issued a revised 2020 Publication 590-B in which it clarifies its explanation of the 10-year rule beneficiary distribution option.
Read More
When the IRS releases new IRA model documents, all IRA trustees, custodians, and issuers will most likely be required to amend to the new model document or to use the new IRS language in their prototype documents. Before that happens, consider reviewing your existing IRA plan agreement to ensure that it still makes sense for your organization.
Read More
The IRS recently postponed certain tax-related deadlines for West Virginia and Louisiana victims of severe storms. The tax relief pertains to various tax filing and payment deadlines that occurred starting on February 27 and May 17.
Read More
The IRS recently issued final regulations regarding the mandatory 60-day postponement of deadlines for certain time-sensitive, tax-related acts in circumstances of federally declared disasters.
Read More
Does a married plan participant need to obtain spousal consent when requesting a qualified retirement plan distribution? Do IRAs have the same spousal consent requirements? Do spousal consent requirements apply to plan participants joined in civil unions that aren’t defined as marriage?
Read More
While the latest version of IRS Publication 590-B answered some outstanding questions brought about by the SECURE and CARES Acts, it also sparked some new questions.
Read More
You may have clients who ask if they can open an IRA for their minor child. The short answer is yes, their child can have an IRA. There are no minimum age limits on who can own an IRA. But there are some things you’ll need to know before opening an account for a minor.
Read More
With the IRS expected to release new IRA model documents soon, you may want to revisit the decision to use either the model document or a prototype document as your required IRA plan agreement. Knowing the difference between the model and prototype, and the pros and cons of both, may help determine which one is best for your organization.
Read More
The IRS recently postponed certain tax-related deadlines for Alabama, Kentucky, and Tennessee victims of severe storms. The tax relief postpones various tax filing and payment deadlines that occurred starting on February 27 and March 25.
Read More
The DOL has issued two pieces of guidance on its new fiduciary advice prohibited transaction exemption. The first piece contains a detailed set of FAQs for investment professionals and financial organizations. The second piece is written for retirement investors. Here are the main takeaways from this latest round of guidance.
Read More
You and your staff may be fielding questions from clients about whether coronavirus-related distributions are still available in 2021 or whether there’s an RMD waiver for 2021. Those two CARES Act provisions have ended, but some parts of the relief are still applicable.
Read More
The IRS officially extended the deadline for individuals to file their federal tax returns and make IRA, HSA, and ESA contributions with Notice 2021-21. This notice also gives financial organizations until June 30, 2021, to file and furnish Form 5498 series forms.
Read More
Many IRA owners who have been negatively impacted financially by the COVID pandemic may look to access their IRA assets early. While doing so may result in a penalty tax, the IRS does provide some exceptions. But IRA owners should also consider the true cost of dipping into their retirement savings early.
Read More
The IRS has indicated that it plans to release new IRA model documents for each type of IRA. When that happens, all IRA trustees, custodians, and issuers will be required to use either the new model documents or the new listing of required modifications if using a prototype document.
Read More
The DOL issued two pieces of guidance on its new fiduciary advice prohibited transaction exemption, PTE 2020-02. One is intended to educate retirement savers about considerations when choosing a potential advisor, and the other is a detailed set of frequently asked questions.
Read More
Find out when it’s okay and when it’s not okay to accept prior-year contributions that are mailed to your organization or deposited through an ACH payment after the contribution deadline.
Read More
If your financial organization administers IRAs or HSAs, it’s responsible for reporting the contributions made to these accounts to account owners and to the IRS annually by May 31. Find out how to complete this type of reporting on Forms 5498 and 5498-SA.
Read More