SEPP Changes

L1: SEPP ChangesRetired early, prior to 55. Started withdrawing from IRA after turning 55 at substantially equal withdrawals for 4 years with one year remaining-2003. Overestimated withdrawal requirements because of substantial balance in IRA which has come down since. My understanding is that prior to CHANGE I was obligated to withdraw substantially equal payments for 5 years. After 5 years can withdraw funds as needed. My question: Can I change to required mininmum distribution (RMD) for 2003 and how do I apprise IRS of change? Simply by completing 2003 tax return? Can I make change effective for 2002 where I have made most of required withdrawals? I still can stop withdrawal of about $35M for 2002. substantial tax savings!!

Dean2002-12-11 08:11, By: Dean, IP: [127.0.0.1]

L2: SEPP Changes>>After 5 years can withdraw funds as needed.Not totally accurate. Check out Last Payment Datecalculator. Theability to change the distribution patternmay be longer than you think.If you change, it isn”t necessary to advise the IRS, but you may want to communicate with the Custodian/Trustee of your IRA. It”s a little late to make the change for 2002 unless you haven”t taken any distributions.

2002-12-11 12:56, By: Gfw, IP: [127.0.0.1]