February 23, 2009
15 % tax that used to apply to excess distributions, which are defined as the aggregate amount of the retirement distributions with respect to any individual during any calendar year to the extent that such amount exceeds the greater of —
(A) $150,000, or
(B) $112,500
IRC § 4980A
Definition A distribution that is excludable from the distributee’s income, as a result of meeting the following requirements: It is made after the distributee reaches
Definition Also known as the Saver’s Tax Credit: Nonrefundable tax credit available to eligible individuals who make contributions to their retirement account. The saver’s credit
Who is an active participant? Active participant status affects an individual’s eligibility to take a deduction for a contribution to a traditional IRA on his/her
Definition An additional contribution that can be made to a retirement plan by a participant who is at least age-50 by the end of the
