Instructions For Form 5329 - 2010 (Page 6 of 6) in pdf

Accounts (HSAs)) is greater than the

Required Distributions

2. Enter “RC” and the amount you

contributions you made to your HSAs

want waived in parentheses on the

IRA (other than a Roth IRA). You

(or those made on your behalf) for 2010

dotted line next to line 52. Subtract this

must start receiving distributions from

(Form 8889, line 2), enter the difference

amount from the total shortfall you

your IRA by April 1 of the year following

on line 43. Also include on your 2010

figured without regard to the waiver,

the year in which you reach age 70

Form 8889, line 13, the smaller of:

and enter the result on line 52.

•

At that time, you can receive your entire

Form 5329, line 43, or

3. Complete line 53 as instructed.

•

interest in the IRA or begin receiving

The excess, if any, of Form 5329,

You must pay any tax due that is

periodic distributions. If you choose to

line 42, over Form 5329, line 44.

reported on line 53.

receive periodic distributions, you must

Line 47

The IRS will review the information

receive a minimum required distribution

you provide and decide whether to

each year. You can figure the minimum

Enter the excess of your contributions

required distribution by dividing the

grant your request for a waiver.

(including those made on your behalf)

account balance of your IRAs (other

to your HSAs for 2010 (Form 8889, line

For more details, see Pub. 590.

than Roth IRAs) on December 31 of the

2) over your contribution limit (Form

Privacy Act and Paperwork

year preceding the distribution by the

8889, line 12). Also include on line 47

Reduction Act Notice. We ask for the

applicable life expectancy. For

any excess contributions your employer

information on this form to carry out the

applicable life expectancies, see Pub.

made. See the instructions for Form

Internal Revenue laws of the United

590.

8889 for details.

States. We need this information to

If the trustee, custodian, or issuer of

However, you can withdraw some or

ensure that you are complying with

your IRA informs you of the minimum

all of the excess contributions for 2010

these laws and to allow us to figure and

required distribution, you can use that

and they will not be treated as having

collect the right amount of tax. You are

amount.

been contributed if:

required to give us this information if

•

You make the withdrawal by the due

If you have more than one IRA, you

you made certain contributions or

date, including extensions, of your 2010

can take the minimum required

received certain distributions from

return, and

distribution from any one or more of the

qualified plans, including IRAs, and

•

You withdraw any income earned on

individual IRAs.

other tax-favored accounts. Our legal

the withdrawn contributions and include

For more details on the minimum

right to ask for the information

the earnings in gross income for the

distribution rules (including examples),

requested on this form is sections

year in which you receive the withdrawn

see Pub. 590.

6001, 6011, 6012(a), and 6109 and

contributions and earnings.

their regulations. If you do not provide

A qualified charitable distribution

Include the withdrawn contributions

this information, or you provide

made in January 2011 may

TIP

and related earnings on Form 8889,

incomplete or false information, you

count towards your 2010

lines 14a and 14b.

may be subject to penalties.

minimum required distribution. Be sure

If you timely filed your return without

You are not required to provide the

to enter this amount on line 51. See

withdrawing the excess contributions,

information requested on a form that is

Qualified charitable distributions in

you can still make the withdrawal no

subject to the Paperwork Reduction Act

chapter 1 of Pub. 590 for more

later than 6 months after the due date

unless the form displays a valid OMB

information.

of your tax return, excluding extensions.

control number. Books or records

Roth IRA. There are no minimum

If you do, file an amended return with

relating to a form or its instructions

required distributions during the lifetime

“Filed pursuant to section 301.9100-2”

must be retained as long as their

of the owner of a Roth IRA. Following

written at the top. Report any related

contents may become material in the

the death of the Roth IRA owner,

earnings for 2010 on the amended

administration of any Internal Revenue

required distribution rules apply to the

return and include an explanation of the

law. Generally, tax returns and return

beneficiary. See Pub. 590 for details.

withdrawal. Make any other necessary

information are confidential, as required

Qualified retirement plans (other

changes on the amended return (for

by section 6103. However, we may give

than IRAs) and eligible section 457

example, if you reported the

this information to the Department of

deferred compensation plans. In

contributions as excess contributions

Justice for civil and criminal litigation,

general, you must begin receiving

on your original return, include an

and to cities, states, the District of

distributions from your plan no later

amended Form 5329 reflecting that the

Columbia, and U.S. commonwealths

than April 1 following the later of (a) the

withdrawn contributions are no longer

and possessions to carry out their tax

year in which you reach age 70

or (b)

treated as having been contributed).

laws. We may also disclose this

the year in which you retire.

information to other countries under a

Part VIII—Additional Tax

Exception. If you owned more than

tax treaty, to federal and state agencies

5% of the employer maintaining the

on Excess Accumulation

to enforce federal nontax criminal laws,

plan, you must begin receiving

or to federal law enforcement and

in Qualified Retirement

distributions no later than April 1 of the

intelligence agencies to combat

year following the year in which you

terrorism.

Plans (Including IRAs)

reach age 70

, regardless of when you

The average time and expenses

retire.

You owe this tax if you do not receive

required to complete and file this form

Your plan administrator should figure

the required minimum distribution from

will vary depending on individual

the amount that must be distributed

your qualified retirement plan, including

circumstances. For the estimated

each year. See Pub. 590 for more

an IRA or an eligible section 457

averages, see the instructions for your

information on making this election.

deferred compensation plan. The

income tax return.

additional tax is 50% of the excess

Waiver of tax. The IRS can waive part

If you have suggestions for making

accumulation — the difference between

or all of this tax if you can show that

this form simpler, we would be happy to

the amount that was required to be

any shortfall in the amount of

hear from you. See the instructions for

distributed and the amount that was

distributions was due to reasonable

your income tax return.

actually distributed. The tax is due for

error and you are taking reasonable

the tax year that includes the last day

steps to remedy the shortfall. If you

by which the minimum required

believe you qualify for this relief, attach

distribution is required to be taken.

a statement of explanation and file

Form 5329 as follows.

1. Complete lines 50 and 51 as

instructed.

-6-

Instructions for Form 5329 (2010)

Instructions For Form 5329 - 2010 Page 6

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