Tax-Shelter Annuities - A Primer
Article Abstract:
The study of the tax sheltered annuity (TSA) as a pre-tax investment plan for employees stressed that it is only available to public school teachers and workers of certain non-profit organizations. Regulations of such TSAs are established in Internal Revenue Code (IRC) Section 403 (b). Maximum contribution limits are based on term of service, salary and other factors. The term Maximum Exclusion Allowance (MEA) is now used to label the largest permitted contribution. Three key uses of TSAs are as: 1. pre-tax savings, 2. a thrift plan, and 3. a supplemental retirement plan. A summary is presented of some of the income and estate tax problems relavent to a TSA thrift plan. When a TSA is used it is required to meet Internal Revenue Service (IRS) and Department of Labor rules. Customarily the Employee Retirement Income Security Act (ERISA) Title 1 requirements must also be followed.
Publication Name: Tax Management Compensation Planning Journal
Subject: Law
ISSN: 0747-8607
Year: 1984
User Contributions:
Comment about this article or add new information about this topic:
State withholding from qualified plan distributions
Article Abstract:
The fifty states' requirements on withholding from qualified plan distributions are surveyed. The data for the survey was provided by a 1992 review of laws, regulations and government publications. All states requiring withholding permit the payee to elect against that practice. While most states do not require withholding, it is permitted voluntarily. The states are listed alphabetically and under each the withholding requirements are summarized with statutory, regulatory or other authority for that practice. The method for withholding is also summarized.
Publication Name: Tax Management Compensation Planning Journal
Subject: Law
ISSN: 0747-8607
Year: 1993
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Comments on Temporary Regulations on Withholding from Pensions, Annuities and Other Deferred Income. IRS' New Proposed J&S Regulations May Help Defined Contribution Plans Adapt to Norris
- Abstracts: September 1983 Proposed Regulations Concerning Foreign Debt Registration Reguirements. part 2 Final Capital Gains Rules for Foreign Tax Credit Computations