IRS Provides Guidance on Waiver of 2020 Required Minimum Distributions

IRS Notice 2020–51, Guidance on Waiver of 2020 Required Minimum Distributions, provides guidance relating to the waiver of 2020 required minimum distributions (RMDs) under the CARES Act. In particular, the notice:

• permits rollovers of waived RMDs and certain related payments
• includes an extension of the 60-day rollover period for certain distributions to August 31, 2020
• answers questions relating to the waiver of 2020 RMDs; and
• provides a sample plan amendment that, if adopted, would provide participants a choice whether to receive waived RMDs and certain related payments.

The notice also provides transition relief for plan administrators and payors in connection with the change in required beginning date for RMDs under the SECURE Act.

Click here for IRS Notice 2020-51.