Today TaxMama® hears from Laura in the TaxQuips Forum, with a tough question. “In 2011 my Elderly client (78) pulled all the money out of a retirement account which his wife had set up for him some years back. My client learned about the account upon her passing and withdrew all the funds not knowing […]
Today TaxMama® has been hearing from several people in the TaxQuips Forum and elsewhere, with this question. “Someone just inherited an annuity. Is it taxable? And if so, how much of it is taxable?”
Today TaxMama® hears from Barbara in the TaxQuips Forum, with these questions. “My mother has me as beneficiary on an annuity she had. Will that be considered income for me and taxable? Also she left her house in a trust. Are there any tax issues I need to know about?”
Today TaxMama hears from Katherine in the TaxQuips Forum, who gets it. “I settled a debt today and am doing a list of assets and liabilities. My question is about assets “Interest in a pension plan.” My husband has been receiving an annuity retirement check for about 20 years. How would we know the value […]
Courtesy of the Internal Revenue Service TT-2008-36 Payments that you receive from your IRA or qualified retirement plan before you reach age 59½ are normally called ‘early’ or ‘premature’ distributions. These funds are subject to an additional 10 percent tax and must be reported to the IRS. There are a number of exceptions to this […]
Today TaxMama hears from Harry in Pennsylvania, who tells us, “I withdrew money from an IRA which used to be an employer annuity, but became an IRA when I left them. I am over 55 and separated from service. Does exception 2, separation from service, apply to distributions from an IRA? Since I am under […]
Today TaxMama brings up her own concern about the way seniors and those who care for them are not taking care of their tax issues. These are the three issues – deducting medical care and knowing what is deductible; drawing your retirement funds; and having a living trust.