Tax Treatment of Distributions. If all contributions to your IRA (xxher than rollover contributions) have been deductible for federal income tax purposes then all distributions from your IRA xxxl be taxable as ordinary income. However, if you have made any nondeductible IRA xxxtributions, distributions from your IRA xxxl be treated as partially a return of deductible contributions, if any, (taxable), partially a return of nondeductible contributions (nontaxable) and partially a distribution of earnings (taxable). The portion of an IRA xxxtribution which will be excludable from income will be determined by multiplying the total amount distributed by a fraction, the numerator of which is the aggregate of all your nondeductible IRA xxxtributions, and the denominator of which is the aggregate balance of all of your IRAs (including rollover IRAs and SEPs). For purposes of the foregoing, (a) all of your IRAs will be treated as a single IRA, (x) all distributions during a taxable year will be treated as a single distribution and (c) the aggregate balance of your IRAs will be determined as of the end of the calendar year with or within which your taxable year ends, after adding back any distributions for such year. Distributions from your IRA xxx not eligible for any special tax treatment such as five-or ten-year averaging or capital gains treatment. (3)
Tax Treatment of Distributions. Amounts distributed to you are generally includable in your gross income in the taxable year you receive them and are taxable as ordinary income. To the extent, however, that any part of a distribution constitutes a return of your nondeductible contributions, it will not be included in your income. The amount of any distribution excludable from income is the portion that bears the same ratio as your aggregate nondeductible contributions bear to the balance of your IRA at the end of the year (calculated after adding back distributions during the year). For this purpose, all of your IRAs are treated as single IRA. Furthermore, all distributions from an IRA during a taxable year are to be treated as one distribution. The aggregate amount of distributions excludable from income for all years cannot exceed the aggregate nondeductible contributions for all calendar years. No distribution to you or anyone else from your account can qualify for capital gains treatment under the federal income tax laws. Similarly, you are not entitled to the special five- or ten-year averaging rule for lump-sum distributions available to persons receiving distributions from certain other types of retirement plans. All distributions are taxed to the recipient as ordinary income except the portion of a distribution which represents a return of nondeductible contributions. The tax on excess distributions (but not the additional estate tax payable with respect to excess accumulations) under Section 4980A of the Code does not apply with respect to distributions made in 1997, 1998 and 1999. Any distribution which is properly rolled over will not be includable in your gross income.
Tax Treatment of Distributions. In general, distributions from your SIMPLE XXX are taxed as ordinary income in the year you receive them. Some amounts are not taxable. Examples include rollovers, direct transfers and corrections of certain excess contributions. In addition, certain distributions may be subject to additional penalties as explained below. If you have made nondeductible contributions to a Traditional IRAs, a portion of each distribution from your SIMPLE XXX is nontaxable. The nontaxable amount is the pro rata portion of the distribution that represents your remaining nondeductible contributions based upon the value of all your IRAs. For assistance in determining the nontaxable portion, consult your tax advisor, instructions to IRS Forms 1040 and 8606, and IRS Publication 590-B.
Tax Treatment of Distributions. For income tax purposes, (i) the payments described in Section 9.5(a)(i) and (v) shall be treated as guaranteed payments pursuant to Section 707(c) of the Code and shall not reduce the balance of Class A Member's Capital Account, and (ii) the payments described in Section 9.5(a)(ii), (iii), (iv) and
Tax Treatment of Distributions. What are my tax consequences when I receive a distribution from the Plan? 12 Can I elect a rollover to reduce or defer tax on my distribution? 12
Tax Treatment of Distributions. Amounts distributed to you are generally includable in your gross income in the taxable year you receive them and are taxable as ordinary income. To the extent, however, that any part of a distribution constitutes a return of your nondeductible contributions, it will not be included in your income. The amount of any distribution excludable from income is the portion that bears the same ratio as your aggregate nondeductible contributions bear to the balance of your IRA xx the end of the year (calculated after adding back distributions during the year). For this purpose, all of your IRAs are treated as a single IRA. Xurthermore, all distributions from an IRA xxxing a taxable year are to be treated as one distribution. The aggregate amount of distributions excludable from income for all years cannot exceed the aggregate nondeductible contributions for all calendar years. Distributions from your IRA xxxe before age 59 1/2 will be subject to a 10% nondeductible penalty tax unless the distribution is a return of nondeductible contributions or is made because of your death, disability, as part of a series of substantially equal periodic payments over your life expectancy or the joint life expectancy of you and your beneficiary, or the distribution is an exempt withdrawal of an excess contribution. The penalty tax may also be avoided if the distribution is rolled over to another individual retirement account.
Tax Treatment of Distributions. Except for qualifying rollover distributions, distributions made to you from the Account will be taxable to you as ordinary income. ------------------------------------------------------------------------------------------------------------------------------------------------------------------
Tax Treatment of Distributions. What are my tax consequences when I receive a distribution from the Plan? Generally, you must include any Plan distribution in your taxable income in the year in which you receive the distribution. The tax treatment may also depend on your age when you receive the distribution. Certain distributions made to you when you are under age 59 1/2 could be subject to an additional 10% tax. You will not be taxed on distributions of your Xxxx 401(k) deferrals. In addition, a distribution of the earnings on the Xxxx 401(k) deferrals will not be subject to tax if the distribution is a "qualified distribution." A "qualified distribution" is one that is made after you have attained age 59 1/2 or is made on account of your death or disability. In addition, in order to be a "qualified distribution," the distribution cannot be made prior to the expiration of a 5-year participation period. The 5-year participation period is the 5-year period beginning on the calendar year in which you first make a Xxxx 401(k) deferral to our Plan (or to another 401(k) plan or 403(b) plan if such amount was rolled over into our Plan) and ending on the last day of the calendar year that is 5 years later. Qualified reservist distributions. If you were/are: (i) a reservist or National Guardsman; (ii) called to active duty after September 11, 2001; and (iii) called to duty for at least 180 days or for an indefinite period, you may take a distribution of your elective deferrals under the Plan while you are on active duty, regardless of your age. The 10% premature distribution penalty tax, normally applicable to Plan distributions made before you reach age 59 1/2, will not apply to the distribution. You also may repay the distribution to an IRA, without limiting amounts you otherwise could contribute to the IRA, provided you make the repayment within 2 years following your completion of active duty. Can I elect a rollover to reduce or defer tax on my distribution? Rollover or direct transfer. You may reduce, or defer entirely, the tax due on your distribution through use of one of the following methods:
Tax Treatment of Distributions. What are my tax consequences when I receive a distribution from the Plan? Generally, you must include any Plan distribution in your taxable income in the year in which you receive the distribution. The tax treatment may also depend on your age when you receive the distribution. Certain distributions made to you when you are under age 59 1/2 could be subject to an additional 10% tax. You will not be taxed on your after-tax voluntary contributions to the Plan when they are distributed from the Plan. You will, however, be taxed on income attributable to those contributions. Can I elect a rollover to reduce or defer tax on my distribution? Rollover or Direct Transfer. You may reduce, or defer entirely, the tax due on your distribution through use of one of the following methods:
Tax Treatment of Distributions
