Early Distribution Penalty Tax. If you are under age 59½ and receive a nonqualified Xxxx XXX distribution or Traditional IRA distribution, an additional tax of 10 percent will generally apply to the amount includible in income in the year of the distribution. If you are under age 59½ and receive a distribution of conversion amounts from your Xxxx XXX within the five-year period beginning with the year in which the conversion occurred, an additional tax of 10 percent will generally apply to the amount of the distribution. The additional tax of 10 percent will generally not apply if a distribution is made on account of 1) death,
Appears in 4 contracts
Samples: Ira Prototype Agreement and Disclosure Statement, Ira Prototype Agreement and Disclosure Statement, Ira Prototype Agreement
Early Distribution Penalty Tax. If you are under age 59½ and receive a nonqualified Xxxx XXX distribution or Traditional IRA XXX distribution, an additional tax of 10 percent will generally apply to the amount includible in income in the year of the distribution. If you are under age 59½ and receive a distribution of conversion amounts from your Xxxx XXX within the five-year period beginning with the year in which the conversion occurred, an additional tax of 10 percent will generally apply to the amount of the distribution. The additional tax of 10 percent will generally not apply if a distribution is made on account of 1) death,
Appears in 2 contracts
Samples: Individual Retirement Custodial Account Agreement, Individual Retirement Custodial Account Agreement
