Page:United States Statutes at Large Volume 96 Part 1.djvu/667

 PUBLIC LAW 97-248—SEPT. 3, 1982

96 STAT. 625

"(i) any a m o u n t which is wages without regard to this section, and "(ii) the portion of a distribution or payment which it is reasonable to beheve is not mcludible in gross income. "(2) PERIODIC PAYMENT.—The term 'periodic payment ' means a designated distribution which is a n a n n u i t y or similar periodic payment. "(3) NoNPERiODic DISTRIBUTION.—The term 'nonperiodic distribution' means any designated distribution which is not a periodic payment. "(4) Q U A L I F I E D TOTAL DISTRIBUTION.—

"(A) IN GENERAL.—The term 'qualified total distribution' means any distribution which— "(i) is a designated distribution, "(ii) it is reasonable to believe is made within 1 taxable year of the recipient, "(iii) is m a d e under a plan described in section 401(a), or 403(a), and "(iv) consists of the balance to the credit of the employee under such plan. "(B)

SPECIAL

RULE

FOR

ACCUMULATED

DEDUCTIBLE

EMPLOYEE CONTRIBUTIONS.—For purposes of subparagraph (A), a c c u m u l a t e d deductible employee contributions (within the m e a n i n g of section 72(o)(5)(B)) shall be t r e a t e d separately in determining if the r e has been a qualified total distribution. "(5)

EMPLOYER

DEFERRED COMPENSATION P L A N. — The

term

'employer deferred compensation plan' means any pension, a n n u i t y, profit-sharing, or stock bonus plan or other plan deferring the receipt of compensation. "(6) COMMERCIAL A N N U I T Y. — The term ' c o m m e r c i a l a n n u i t y '

means a n a n n u i t y, endowment, or life insurance contract issued by a n insurance company licensed to do business under the laws of any State. "(7) P L A N ADMINISTRATOR.—The term ' p l a n a d m i n i s t r a to r ' has

the m e a n i n g given such term by section 414(g). "(8) MAXIMUM AMOUNT W I T H H E L D. — The maximum a m o u n t to

be withheld under this section on any designated distribution shall not exceed the s u m of the a m o u n t of money and the fair m a r k e t value of other property (other than employer securities of the employer corporation (within the m e a n i n g of section 402(a)(3))) received in the distribution. "(9) SEPARATE ARRANGEMENTS TO BE TREATED SEPARATELY.—If

the payor has more than 1 a r r a n g e m e n t under which designated distributions may be made to any individual, each such a r r a n g e m e n t shall be t r e a t e d separately. "(10) T I M E AND M A N N E R OF ELECTION.—

"(A) IN GENERAL.—Any election and any revocation under this section shall be made a t such time and in such m a n n e r as the Secretary shall prescribe. "(B) PAYOR REQUIRED TO NOTIFY PAYEE OF RIGHTS TO ELECT.— "(i) PERIODIC P A Y M E N T S. — The p a y o r of any periodic

payment— "(I) shall t r a n s m i t to the payee notice of the right to m a k e a n election under subsection (a) not

95 Stat. 278.

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