How Can We Help?
< Back
You are here:
Print

2 PAYMENT OR 12 PAYMENTS

Posted
Last Updated On
ByDavid

L1: 2 PAYMENT OR 12 PAYMENTSTaxpayer retired October 15, 2001, if 72T payments started Nov 1, 2001 can a taxpayer take 12 months worth of payments in 2001 or just 2 months of payments ? Taxpayer is 48 yrs old 2001-12-10 19:01, By: DAVID, IP: [127.0.0.1]
L2: RE: 2 PAYMENT OR 12 PAYMENTSSurely you reduced the plan to writing. Does the plan summary call for, Annual Payments or Monthly Payments?2001-12-10 19:04, By: Gfw, IP: [127.0.0.1]

L2: 2 PAYMENTS OR 12 PAYMENTSREF. PREVIOUS QUESTION ABOUT 2 OR 12 PAYMENTS. No plan documents have been drawn up yet. If the documents were to say annual payments and the first annual payment is November 1, 2001 then in November 2002, could the payments go to monthly. If the douuments say annual, could a distribution be made in November 2001 and another payment be made in January 2002 2001-12-11 10:07, By: DAVID, IP: [127.0.0.1]

L2: RE: 2 PAYMENTS OR 12 PAYMENTSIf the document says annual and the first payment was 11/01/2001, then the next payment should occur on 11/01/2002, not January 1, 2002. If you are going to start changing the payment structure during the plan, you may have a problem, or at least be inviting additional scrutiny if an audit occurs. You are treading on areas that have not been Ok’d in any previous PLRs (at least that I have seen) – you may want to consult with your advisors and ask for your own PLR outlining exactly what you want to do.2001-12-11 10:19, By: Gfw, IP: [127.0.0.1]

Table of Contents