IRS OKs switch of qualified annuity. (Section 1035 exchange of one annuity contract for another)Chandler, Darlene K
fixed and variable), but the transfers are restricted to only tax-deferred funds in the annuity. Non-qualified annuity holders can also transfer funds between different types of annuities without attracting the federal early withdrawal penalty due to the 1035 Exchanges regulation of the Internal Reven...
An annuity contract will be treated as owned by a natural person even if the owner is a trust or other entity as long as that entity holds the annuity as an agent for a natural person. However, this special exception will not apply in the case of an employer who is the nominal owner ...
Instead of cashing in a variable annuity in order to buy one with better terms (such as lower annual fees) and paying tax at that time on any increase over your investment,you can transfer to another contractin what is called a1035 exchange. The exchange is tax-free as long as the annu...