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STATE WITHHOLDING ON DISTRIBUTIONS


Guest TRUST53

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Guest TRUST53
Posted

Does the state of California require tax withholding on lump sum distributions from qualified plans?

Guest greymann
Posted

The state of California requires withholding at a rate that is 1/10 of the federal tax withholding rate (which then would be 2%), unless the recipient elects out of this withholding. I will try to get a cite on this.

Guest greymann
Posted

The California pension withholding statute is found in California Unemployment Insurance Code Section 13028.

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