Not all domestic relations orders satisfy QDRO rules
Divorcing couples can divide their qualified retirement plan benefits without worrying about undesirable tax treatment by relying on a properly developed qualified domestic relations order (QDRO). To be a QDRO, a domestic relations order must meet Sec. 414(p) and ERISA Sec. 206(d). These provisions state that the domestic relations order must be a state court domestic relations order provided in compliance with the state domestic relations law or community property law relating to the provision of alimony, child support or marital property rights of an alternate payee. The order must indicate or acknowledge an alternate payee's right to obtain a part or the whole of the benefits under a qualified plan. Although the rules contained in Sec. 414(p) and ERISA Sec. 206(d) seem simple and direct, they are actually very difficult in reality. Guidelines are given.
Publication Name: Taxation for Accountants
COLAs that don't taste the same and don't satisfy
Congress enacted IRC section 7430 to compensate taxpayers who were unjustly pursued by the IRS for all incurred attorneys' fees at a rate of $75 an hour to be adjusted by cost-of-living. However, there is no guidance in the section to clarify what date should be used as the baseline for determining the change in cost-of-living and courts have used 1981, 1983, 1986 and 1988 based on enactment dates and amendment dates. This lack of consensus noticeably affects reimbursement as does the practice of using the date of services rendered rather than award date to compensate for inflation.
Publication Name: Taxes: The Tax Magazine
Rules and reason in the forced retirement of commercial airline pilots at age 60
Analysis of the Federal Aviation Administration's policy of forced retirement of commercial airline pilots at the age of 60 reveals that the life-span of human beings, economic climate and the nature of aviation have undergone changes to warrant fresh appraisal of this retirement policy. Operational capability of the pilot, physical agility and analytical ability should be the criterion adopted while deciding to retire pilots.
Publication Name: Ergonomics