Did you know premiums no longer have to be deducted from retiree's pension check? Re: Retired Public safety Officer Exclusion - PSO Exclusion - Retiree Health Exclusion up to $3000
How to update locked questions that have 'new' updated info? For example, this is locked as 'solved' when in fact as of 2023 there is new information about this topic.
Did you know premiums no longer have to be deducted from retiree's pension check? And if not, an attestation must be attached to tax return? How will this done in ProSeries?
specifically:
How did the SECURE Act 2.0 modify HELPS?
Section 328 of the SECURE Act 2.0, now Division T of Public Law 117-328, modified the direct payment requirement under HELPS by making it optional and created an alternative to the direct payment method, namely allowing the retirement plan to make the distribution to the retired public safety officer. The retiree could then make the premium payment to the provider and remain eligible for the tax exclusion. This change is effective for distributions made after the date of enactment of the SECURE Act 2.0, which was December 29, 2022.
The SECURE Act 2.0 also provided that, in cases where the distribution is made to the retiree, the retiree must include with their tax return an attestation that the amount sought to be excluded from the pension distribution does not exceed the amount paid by the employee for qualified health insurance premiums for the taxable year. "
