Louisiana Administrative Code › Title 58 - RETIREMENT › Part III - Teachers' Retirement System of Louisiana › Chapter 15 - Optional Retirement Plan (ORP) › Section III-1515 - Rollover Distribution

Current through Register Vol. 50, No. 6, June 20, 2024
A.
				For purposes of this Section, the following definitions shall apply.
Direct Rollover
-a payment by the plan to the
				  eligible retirement plan specified by the distributee.
Distributee
-includes a participant or former
				  participant. It also includes the participant's or former participant's
				  surviving spouse and the employee's or former employee's spouse or former
				  spouse who is the alternate payee under a domestic relations order. It also
				  includes the participant's or former participant's nonspouse beneficiary who is
				  a designated beneficiary as defined by IRC §401(a)(9)(E) Effective January 1,
				  2007, and notwithstanding anything in the plan to the contrary that otherwise
				  would limit a
distributee's
election under this Section, and
				  to the extent allowed under the applicable provisions of the IRC and the
				  treasury regulations, a
distributee
who is a designated
				  beneficiary, but not a surviving spouse, spouse or former spouse alternate
				  payee may elect, at the time and in the manner prescribed by the plan
				  administrator, to have all or any part of the account that qualifies as an
				  eligible rollover distribution paid in a direct trustee-to-trustee transfer to
				  an eligible retirement plan that is an individual retirement plan described in
				  Clause (i) or (ii) of the IRC §402(c)(8)(B) If such a transfer is made:
a. the transfer shall be treated as an
				eligible rollover distribution;
b.
				the individual retirement plan shall be treated as an inherited individual
				retirement account or individual retirement annuity (within the meaning of IRC
				§408(d)(3)(C); and
c. IRC
				§401(a)(9)(B) (other than clause (iv) thereof) shall apply to such individual
				retirement plans.
Eligible Retirement Plan
-any program defined
				  in IRC §§401(a)(31) and 402(c)(8)(B), that accepts the distributee's eligible
				  rollover distribution, and any of the following:
a. an individual retirement account under IRC
				§408(a);
b. an individual
				retirement annuity under IRC §408(b);
c. a qualified trust as described in IRC
				§401(a), provided that such trust accepts the employee's eligible rollover
				distribution;
d. an annuity plan as
				described in IRC §403(a);
e. an
				eligible deferred compensation plan described in IRC §457(b) which is
				maintained by an eligible governmental employer under IRC §457(e)(1)(A)
				(provided the plan contains provisions to account separately for amounts
				transferred into such plan);
f an
				annuity contract under IRC §403(b); or
g. a Roth IRA as described under IRC §408A.
Eligible Rollover Distribution
-
h. effective December 18, 2015, a simple IRA
				as described under IRC §408(p), provided that the rollover contribution is made
				after the two-year period described in IRC §72(t)(6)
Eligible Rollover Distribution
-
a. the distribution of all or any portion of
				the balance to the credit of an employee from a qualified plan, except that an
eligible rollover distribution
does not include:
i. any distribution that is one of a series
				of substantially equal periodic payments (not less frequently than annually)
				made for the life (or life expectancy) of the distributee or the joint lives
				(or joint life expectancies) of the participant and the participant's
				designated beneficiary, or for a specified period of 10 years or
				more;
ii. any distribution to the
				extent such distribution is required under IRC §401(a)(9); or
iii. the portion of any distribution that is
				not includible in gross income, provided that any portion of any distribution
				that is not includible in gross income may be an
eligible rollover
				distribution
for purposes of a rollover to either:
(a). a traditional individual retirement
				account or individual retirement annuity under IRC §408(a) or 408(b);
				or
(b). a qualified trust which is
				part of a plan which is a defined contribution plan or a defined benefit under
				IRC §401(a) or to an annuity contract described in IRC §403(b), and such trust
				or annuity contract separately accounts for amounts so transferred, including
				separate accounting for the portion of such distribution that is includible in
				gross income and the portion of such distribution that is not
				includible.
b.
				a qualified rollover contribution to a Roth IRA within the meaning of IRC
				§408A.