Rules for distributions from retirement plans and IRAs and for retirement plan loans
The IRS today issued “frequently asked questions” (FAQs) in Fact Sheet 2024-19 related to rules for distributions from retirement plans and individual retirement arrangements (IRAs) and for retirement plan loans, for certain individuals affected by federally declared major disasters.
As described in the related IRS release—IR-2024-132 (May 3, 2024)—the FAQs relate to the SECURE 2.0 Act of 2022 provision that provides for ongoing disaster relief for certain distributions and loans in the case of federally declared major disasters. Prior to the changes made by SECURE 2.0, there was no disaster relief allowing these distributions and loans that applied generally for all major disasters.
The FAQs are divided into four categories: