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Posted

Does anyone know of an IRS cite that discusses the Service's review of the facts and circumstances surrounding a participant's separation from service to determine if he/she has retired and may beging receiving benefits? (This comes up often in the context of retire/rehire cases but I can't find a cite.)

  • 3 weeks later...
Posted

Did you find anything? I am looking for the same thing....

Posted

I don't know of anything directly from the IRS, but you might look at Sorensen v. Saint Alphonsus Regional Medical Center, Inc., 118 P.3d 86, 141 Idaho 754 (Idaho 06/24/2005). It is a state law case where an in-service distribution contrary to terms of the plan was made and caught by the IRS on audit. The IRS and employer agreed on two alternate resolutions from which the employee involved could pick. The employee didn't like either, and filed suit. If I recall correctly, there's discussion in the opinion about why the IRS concluded she had not separated from service.

John Simmons

johnsimmonslaw@gmail.com

Note to Readers: For you, I'm a stranger posting on a bulletin board. Posts here should not be given the same weight as personalized advice from a professional who knows or can learn all the facts of your situation.

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