Distribution from a qualified plan using 10 year averaging
I have a qualified plan (profit sharing) that has not been used since 2004, but is still active. I plan to rollover a conduit IRA into it this week; leave it in for a day, and then take a lump sum distribution. Anyone see a problem with the one day or with it being inactive, except for RMD’s, since 2004?
Permalink Submitted by Alan Spross on Mon, 2010-02-08 19:51
I don’t see a problem as long as the plan complies with all of the historical limitations applied to this plan listed on p 20 of Pub 575, and there are quite a few of them.
But it would be a good idea to run your plan by the plan administrator before starting the wheels in motion.