Good morning,

Although the vast majority of IRA annuity contracts allow for 10% penalty free withdraws of the account balance and/or an exception to penalties for RMDs, there seems to still be some contracts that apply surrender charges to RMDs. Has the IRS, legislation or courts addressed this or is it possible for custodians to disregard RMDs when applying notable surrender charges? I could not find any definitive regs on the matter and would appreciate any insight.

Thank you!