BobKamman
Level 15
04-14-2022
05:19 PM
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From Pub 575:
If the retiree was reporting the annuity under the General Rule, you must apply the same exclusion percentage to your initial survivor annuity payment called for in the contract. The resulting tax-free amount will then remain fixed for the initial and future payments. Increases in the survivor annuity are fully taxable. See Pub. 939 for more information on the General Rule.