The IRS has released proposed regulations, REG-105954-20, which make significant changes relating to required minimum distributions (RMDs), including death distributions, from qualified plans and IRAs. The purpose of these regulations is to provide additional guidance to law changes made by the Setting Every Community Up for Retirement Enhancement Act of 2019 (SECURE Act). The proposal, filed with the federal register on February 24, 2022, is now available for review at https://www.federalregister.gov/d/2022-02522
The changes include:
• new rules for eligible designated beneficiary payouts after an IRA owner’s death
• clarifications on when trusts are named as IRA beneficiaries
• mandated annual withdrawals under the 10-year-rule
• new guidance when minor children are named beneficiaries
PMC will be updating our various products & services, including our 2022 Winter-Spring training webinars, in the upcoming weeks.