Required Minimum Distributions Taken from Another Custodial Account Sample Clauses

Required Minimum Distributions Taken from Another Custodial Account. To the extent a Required Minimum Distribution amount calculated in accordance with this Agreement for any year is or shall be distributed from another Individual Retirement Account maintained by a Depositor pursuant to section 6 of Article IV, no Required Minimum Distribution shall be required to be made from this Custodial Account. If a Depositor fails to submit a distribution request in any year in which he or she has a Required Minimum Distribution obligation, it shall be assumed by the Custodian that the Depositor is applying such "alternative method", even in the absence of receipt by the Custodian of any notification from the Depositor. Surviving Spouse Election to Treat a Depositor’s Custodial Account as His or Her Own: Notwithstanding any provisions of Article IV or any other provisions contained herein to the contrary upon the death of a Depositor, the Depositor’s spouse as the sole Beneficiary of the Depositor’s Custodial Account may elect to treat the Depositor’s Custodial Account as his or her own in accordance with Internal Revenue Service Regulation 1.408-8 except that in order for such an election to become effective, the Custodian may require that the election be in writing and be submitted to it before distributions would otherwise be required to begin to such spouse Beneficiary pursuant to section 3(a) or 3(b) of Article IV. The Custodian may also require the establishment of a separate Custodial Account registered in the name of the surviving spouse in his or her own capacity as the Depositor, to which it would then transfer the assets remaining in the deceased Depositor’s Custodial Account. Notwithstanding the preceding and pursuant to Internal Revenue Service Regulation 1.408-8, if the Depositor dies after his or her Required Beginning Date, an election by a surviving spouse Beneficiary to treat the Depositor’s Custodial Account as his or her own shall not become effective until the Required Minimum Distribution amount, if any, attributable to the year of the Depositor’s death and determined with respect to the Depositor, as if living, has been fully distributed. In addition, if the funds in a deceased Xxxxxxxxx’s Account have been transferred by the Custodian to another Custodial Account held in the name of a surviving spouse as Depositor in order to effect the election of such surviving spouse Beneficiary to treat the deceased Depositor’s Custodial Account as his or her own, such that in the year of such transfer there is no precedin...
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Required Minimum Distributions Taken from Another Custodial Account. (a) A Depositor required to receive minimum distributions from a Non Xxxx Custodial Account cannot choose to take the minimum distribution amount from any Xxxx Custodial Account. Similarly, a Beneficiary required to receive minimum distributions from a Xxxx Custodial Account cannot choose to take the minimum distribution amount from a Non Xxxx Custodial Account. Alternatively, to the extent a Required Minimum Distribution amount calculated in accordance with this Agreement for any year is or shall be distributed from another Individual Retirement Account maintained by a Depositor pursuant to Section III.A, no Required Minimum Distribution shall be required to be made from this Custodial Account. If a Depositor fails to submit a distribution request in any year in which he or she has a Required Minimum Distribution obligation, it shall be assumed by the Custodian that the Depositor is applying such “alternative” method, even in the absence of receipt by the Custodian of any notification from the Depositor.
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Related to Required Minimum Distributions Taken from Another Custodial Account

  • Required Minimum Distributions Your required minimum distribution is calculated using the uniform lifetime table in Regulations section 1.401(a)(9)-9. However, if your spouse is your sole designated beneficiary and is more than 10 years younger than you, your required minimum distribution is calculated each year using the joint and last survivor table in Regulations section 1.401(a)(9)-9. If you fail to request your required minimum distribution by your required beginning date, we can, at our complete and sole discretion, do any one of the following. • Make no distribution until you give us a proper withdrawal request • Distribute your entire IRA to you in a single sum payment • Determine your required minimum distribution from your IRA each year based on your life expectancy, calculated using the uniform lifetime table in Regulations section 1.401(a)(9)-9, and pay those distributions to you until you direct otherwise We will not be liable for any penalties or taxes related to your failure to take a required minimum distribution.

  • How are Required Minimum Distributions Computed A required minimum distribution (“RMD”) is determined by dividing the account balance (as of the prior calendar year end) by the distribution period. For lifetime RMDs, there is a uniform distribution period for almost all IRA owners of the same age. The uniform distribution period table is based on the joint life and last survivor expectancy of an individual and a hypothetical beneficiary 10 years younger. However, if the IRA owner’s sole beneficiary is his/her spouse and the spouse is more than 10 years younger than the account owner, then a longer distribution period based upon the joint life and last survivor life expectancy of the IRA owner and spouse will apply. An IRA owner may, however, elect to take more than his/her RMD at any time.

  • What Forms of Distribution Are Available from a Xxxxxxxxx Education Savings Account Distributions may be made as a lump sum of the entire account, or distributions of a portion of the account may be made as requested.

  • How Are Distributions from a Xxxxxxxxx Education Savings Account Taxed For Federal Income Tax Purposes? Amounts distributed are generally excludable from gross income if they do not exceed the beneficiary’s “qualified higher education expenses” for the year or are rolled over to another Xxxxxxxxx Education Savings Account according to the requirements of Section (4). “Qualified higher education expenses” generally include the cost of tuition, fees, books, supplies, and equipment for enrollment at (i) accredited post-secondary educational institutions offering credit toward a bachelor’s degree, an associate’s degree, a graduate-level or professional degree or another recognized post-secondary credential and (ii) certain vocational schools. In addition, room and board may be covered if the beneficiary is at least a “half-time” student. This amount may be reduced or eliminated by certain scholarships, qualified state tuition programs, HOPE, Lifetime Learning tax credits, proceeds of certain savings bonds, and other amounts paid on the beneficiary’s behalf as well as by any other deductions or credits taken for the same expenses. The definition of “qualified education expenses” includes expenses more frequently and directly related to elementary and secondary school education, including the purchase of computer technology or equipment or Internet access and related services. To the extent payments during the year exceed such amounts, they are partially taxable and partially non-taxable similar to payments received from an annuity. Any taxable portion of a distribution is generally subject to a 10% penalty tax in addition to income tax unless the distribution is (i) due to the death or disability of the beneficiary, (ii) made on account of a scholarship received by the beneficiary, or (iii) is made in a year in which the beneficiary elects the HOPE or Lifetime Learning credit and waives the exclusion from income of the Xxxxxxxxx Education Savings Account distribution. You may be allowed to take both the HOPE or Lifetime Learning credits while simultaneously taking distributions from Xxxxxxxxx Education Savings Accounts. However, you cannot claim a credit for the same educational expenses paid for through Xxxxxxxxx Education Savings Account distributions. To the extent a distribution is taxable, capital gains treatment does not apply to amounts distributed from the account. Similarly, the special five- and ten-year averaging rules for lump-sum distributions do not apply to distributions from a Xxxxxxxxx Education Savings Account. The taxable portion of any distribution is taxed as ordinary income. The IRS does not require withholding on distributions from Xxxxxxxxx Education Savings Accounts.

  • How Are Contributions to a Xxxxxxxxx Education Savings Account Reported for Federal Tax Purposes? Contributions to a Xxxxxxxxx Education Savings Account are reported on IRS Form 5498-ESA.

  • When Must Distributions from a Xxxxxxxxx Education Savings Account Begin? Distribution of a Xxxxxxxxx Education Savings Account must be made (or otherwise will be deemed made) no later than 30 days from the earlier of the beneficiary’s death or attainment of age 30. A distribution from a Xxxxxxxxx Education Savings Account may be rolled over to another beneficiary’s Xxxxxxxxx Education Savings Account according to the requirements of Section (4). Note that the Economic Growth and Tax Relief Reconciliation Act of 2001 waives the distribution age limitation if the beneficiary of the Xxxxxxxxx Education Savings Account is a “Special Needs” student.

  • How Are Contributions to a Xxxx XXX Reported for Federal Tax Purposes You must file Form 5329 with the IRS to report and remit any penalties or excise taxes. In addition, certain contribution and distribution information must be reported to the IRS on Form 8606 (as an attachment to your federal income tax return.)

  • Pension Contributions While on Short Term Disability Contributions for OMERS Plan Members When an employee/plan member is on short-term sick leave and receiving less than 100% of regular salary, the Board will continue to deduct and remit OMERS contributions based on 100% of the employee/plan member’s regular pay.

  • When Must Distributions from a Xxxx XXX Begin Unlike Traditional IRAs, there is no requirement that you begin distribution of your account during your lifetime at any particular age.

  • When Must Distributions from a Traditional IRA Begin You must begin receiving the assets in your account no later than April 1 following the calendar year in which you reach RMD age.

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