Guest andmik Posted July 26, 2001 Posted July 26, 2001 Hello, I am running into a brick wall on this one. A participant takes a hardship from his deferral source. He has the right to elective federal withholding. If he elects to have nothing withheld for federal taxes, how does any mandatory state withholding follow. I have found that in Massachusetts for instance, they follow the federal statute, therefore it looks like if a participant elects 0% federal withholding there would be no state withholding as well. What about all the other manadatory withholding states; how should a withholding agent handle those withholdings? Waivable or not? Thanks in advance for any insight you are able to provide. andmik
pmacduff Posted July 26, 2001 Posted July 26, 2001 I have a ".PDF" file with a listing of all states and the withholding rules in relation to Qualified Plan Distributions. I think it might help, it looks like Pennsylvania is the only state to require withholding regardless of the Federal withholding. If you would like me to e-mail this to you, please let me know.
Guest spritcha Posted July 26, 2001 Posted July 26, 2001 I would love to have a copy of the PDF file. Would you be able to post a link to it or e-mail a copy to me? Thanks!
david rigby Posted July 26, 2001 Posted July 26, 2001 Is that PDF different from the CIGNA summary? http://www.cigna.com/professional/pdf/CPA_iidw0201.PDF I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.
pmacduff Posted July 27, 2001 Posted July 27, 2001 Actually, the Cigna summary is more recent than my file. Thanks pax.
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