My property settlement agreement was approved by the court in NJ this past June. It specifies that I will roll half of my IRA to my spouse but does not mention IRS Code Section 408(d)(6). in the text. An article submitted to this site in the year 2000 * states that a QDRO is not needed for an IRA to be rolled into the other spouse's IRA.
It also adds that, "to be safe" the settlement agreement should clearly specify that the transfer of IRA funds is required as part of the property settlement that is intended to be tax-free under Internal Revenue Code Section 408(d)(6). Is this still the current rule and situation,- and if I need the code stated in the agreement, can I just re-submit the agreement to the court myself with the change added to the body?
*Decisions Affecting Divorce - Splitting of Retirement Benefits
By Clifton G. Lamb, Jr., CPA
Miod and Company, LLP
Submitted November, 2000