top of page
HOME
QDRO PREPARATION
ABOUT
GETTING STARTED AND CONTACT
More
Use tab to navigate through the menu items.
Up
First Name
Email
Last Name
Phone
Document 1
Document 2
Document 3
Document 4
Document 5
Anything we should know?
We are seeking QDRO legal assistance and guidance regarding a specific scenario related to a divorce case. I, Michele Davis “Petitioner” who is receiving liquid assets from her ex-husband James Davis Jr. “Respondent” per the Divorce Decree and Settlement Agreement. The order specifies the amounts ex-husband will be distributing by April 20, 2024. Which have not been received thus far. Now that he is in the late process of requesting distributions he realizes there could be tax implications with the distribution requests. "It would unfairly burden me with taxes when the income is eventually taken if rolled into a retirement account. This scenario only benefits him, as he avoids the tax responsibility he elected to defer, while I receive a significantly reduced amount after taxes." Specific amounts are to be distributed as stated in the settlement agreement directly from his retirement accounts, he should be responsible for any tax burden at the time of his distribution request. Whereas, if accounts are transferred or rolled over, the receiving party (me) would be responsible for taxes on any future distributions. My intention is to avoid future tax liability, and this was communicated and agreed upon during mediation, the agreement reflects that specific amounts are to be distributed and “shall be done by April 20, 2024”, rather than transferred accounts. I was advised that if he is to distribute specific amounts from his accounts, he would bear the tax burden associated with the distribution, not me. This is why the language was clearly defined.
bottom of page