Sieve
Jan 6 2009, 03:13 PM
I have read that, effective after 12/31/2009, non-spouse rollovers are required to be made available from qualified plans (rather than just permitted to be made available), but I cannot find that PPA '06 technical correction provision in WRERA '08. Does anyone know where that particular provision resides in the new Act?
Belgarath
Jan 6 2009, 03:39 PM
Try Section 108(f) of the new Act. I'd paste it in here, but the only one I have handy is a PDF and I'm not clever enough...
Well, maybe this will work.
(f) AMENDMENTS RELATED TO SECTION 829.—
(1) Section 402(c)(11) of the 1986 Code is amended—
(A) by inserting ‘‘described in paragraph (8)(B)(iii)’’
after ‘‘eligible retirement plan’’ in subparagraph (A), and
(B) by striking ‘‘trust’’ before ‘‘designated beneficiary’’
in subparagraph (B).
(2)(A) Section 402(f)(2)(A) of the 1986 Code is amended
by adding at the end the following new sentence: ‘‘Such term
shall include any distribution to a designated beneficiary which
would be treated as an eligible rollover distribution by reason
of subsection (c)(11), or section 403(a)(4)(B), 403(b)(8)(B), or
457(e)(16)(B), if the requirements of subsection (c)(11) were
satisfied.’’
(B) Clause (i) of section 402(c)(11)(A) of the 1986 Code
is amended by striking ‘‘for purposes of this subsection’’.
(C) The amendments made by this paragraph shall apply
with respect to plan years beginning after December 31, 2009.
Sieve
Jan 6 2009, 05:32 PM
Thanks, B. I'd looked at WRERA Section 108(f) previously and didn't see what technical correction made the availability of the non-spouse rollover mandatory, but now, looking at it again in your post, I see that it's WRERA Section 108(f)(2)(A), which amends IRC Section 402(f)(2)(A) so that the cross reference from the definitional provision of the mandatory transfer language (IRC Section 401(a)(31)(D)) now picks up the non-spouse rollover.
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