Annuities

ABCs of Structured Annuities, Risks + Rewards of Roth IRAs Under TCJA, Avoiding RMD Tax-Time Surprise, and More

Topics: Annuities, Estate planning, Life insurance products, RMDs, Trusts

March 29, 2019 Assets Under Management The ABCs of Structured Annuities Structured annuities are a relatively new annuity construction that are similar to structured notes, but offer the potential for tax-deferred growth. In this Think Advisor piece, Scott Stolz explains how structured annuities compare to other annuities as well as the pros and cons of…

WRN#18.01.03

Topics: Annuities, Life insurance products

The Michigan Department of the Treasury recently issued Michigan Revenue Administrative Bulletin No. 2017-25 to provide guidance on the tax treatment of contributions to and distributions from a IRC §403(b) annuity plan.

Taxpayer’s Receipt of Outright Cash from Original Insurance Company Barred 1035 Treatment for Annuity Exchange

Topics: Annuities, Life insurance products

The taxpayer inherited a non-qualified annuity from his father and wished to exchange the annuity for a new annuity issued by another insurance company. He assumed the exchange would be tax-deferred under Code Section 1035, but he failed to exchange annuity contracts as required by Section 1035. Instead, he cashed in the inherited annuity contract,…

Grantor Trust Transactions – SCINs, Installment Sales, and Private Annuities: Is the IRS Circling the Wagons?

Topics: Annuities, Estate planning, Grantor trusts, Life insurance products, Trusts

Thursday, March 12, 2015WRM# 15-09 The WRMarketplace is created exclusively for AALU Members by the AALU staff and Greenberg Traurig, one of the nation’s leading tax and wealth management law firms. The WRMarketplace provides deep insight into trends and events impacting the use of life insurance products, including key take-aways, for AALU members, clients and...

Class Action Claims Alleging Fraud Against Annuity Carrier Dismissed

Topics: Annuities, Life insurance products

This class action case was filed against EquiTrust Life Insurance Company (“EquiTrust”) in federal district court in Arizona, alleging violations of federal and state law in the sale of annuities. The district court granted EquiTrust’s motion for summary judgment. The federal appeals court affirmed the summary judgment of the District Court and sent the case…

Administration’s FY 2016 Budget – Part II: Notable Provisions Relating to Retirement Plans and Savings

Topics: Annuities, Defined contribution plans, DRD, IRAs, Life insurance products, Qualified Plans, RMDs, Tax treatment

Thursday, February 19, 2015WRM#15-06 The WRMarketplace is created exclusively for AALU Members by the AALU staff and Greenberg Traurig, one of the nation’s leading tax and wealth management law firms. The WRMarketplace provides deep insight into trends and events impacting the use of life insurance products, including key take-aways, for AALU members, clients and advisors.…

Annuity Proceeds Paid to Contingent Beneficiary When Primary Beneficiary Died Too Soon

Topics: Annuities, Life insurance products

The primary beneficiary of an annuity contract died two days after the annuity owner passed away. The annuity contract provided that, under these circumstances, the proceeds would be paid to the primary beneficiary’s estate. The contingent beneficiaries argued that under the Oregon simultaneous death statute, the proceeds should be payable to them instead.

Treasury Issues Final Regulations to Facilitate Use of Longevity Annuity Contracts within Retirement Accounts

Topics: 457b, Annuities, IRAs, Life insurance products, Qualified Plans, Retirement security, Tax treatment

In announcing the release of final regulations (“final regulations”) which are intended to increase the attractiveness and practicality of utilizing a particular type of deferred annuity—called a QLAC (“qualifying longevity annuity contract”)—within retirement accounts to avoid exhausting retirement savings, Mark Iwry, the Treasury’s deputy assistant secretary for retirement and health policy stressed: As boomers approach…