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April 16, 2009

Qualified annuity plan

Your Guide

A qualified retirement plan that is invested in annuities. Often referred to as a ‘an annuity plan’ described in IRC § 403(a),
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Additional Helpful Information
If an annuity contract is purchased by an employer for an employee under a qualified annuity retirement plan that satisfies the deduction rules that apply to qualified plans, the amount actually distributed to any distributee under the contract is taxable to the distributee in the year that the distribution occurs. This rule applies whether or not the employer deducts the amounts paid for the contract under the plan.

Written By

Denise Appleby

Denise is CEO of Appleby Retirement Consulting Inc., a firm that provides IRA resources for financial/ tax/legal professionals. She has over 20 years of experience in the retirement plans field, which includes training and technical consultation.

Denise writes and publishes educational /marketing tools for advisors; available at Denise co-authored several books on IRAs

Denise is a graduate of The John Marshall Law School, where she obtained a Masters of Jurisprudence in Employee Benefits, and has earned 5 professional retirement designations.
She has appeared on numerous media programs, sharing her insights on retirement tax laws.


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