72t divorce spouse refuses trustee to trustee
L1: 72t divorce spouse refuses trustee to trusteeI’m 3-1/2 years into my 72t and 58-1/2. Recently divorced and lump sum settlement wasn’t specified in divorce decree where the funds where coming from.Upon attempts to issue payment through a trustee to trustee transfer my former spouse wants a check cut. It is now going before the court I guess as a qdro. Can the courts issue a qdro whereby my 72t would not be busted and there be no penalty or taxes to either party?
Thanks Berniel2013-05-30 20:28, By: berniel, IP: [188.8.131.52]
L2: 72t divorce spouse refuses trustee to trusteeA QDRO doesn’t apply to an IRA, only to an employer sponsered plan.
However, if the division of teh IRA is spelled out in the actual divorce documents, you should be Ok.
Here are a few PLRs that you can reference: PLR 2000-27060, PLR 2000-50046 & PLR 2007-17026 – you should be able to find them using Google.2013-05-31 14:04, By: Gfw, IP: [184.108.40.206]
L3: 72t divorce spouse refuses trustee to trusteeI’ll check them out thanks2013-05-31 14:24, By: berniel, IP: [220.127.116.11]
L4: 72t divorce spouse refuses trustee to trusteeI see this more of a case where your X-spouse does not understand how the lump sum distribution will adversley impact her financially. It sounds like she is more interested in “punishing you” than her financial security.
If your attorney understands the problem or you can educate him/her, then maybe your attorney can talk common sense to her attorney to resolve this problem so that both of you keep more money than letting the IRS take a big bite out of both of your financial apples.
Jim F2013-05-31 15:21, By: Jim F, IP: [18.104.22.168]
L3: 72t divorce spouse refuses trustee to trusteeNo it’s not spelled out. It does not say were the money is to come from. It was a assumption on the lawyers part since all my Money is tied up in IRA. A grave mistake on my part for not having it in writing.
Thanks Bernie2013-05-31 17:18, By: berniel, IP: [22.214.171.124]