RELATES TO:
26 U.S.C.
402(c)(8)(B),
403(b)(8)(A),
408(d)(3)(A),
457(e)(16)(A)
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
161.310 requires the Board of Trustees of the
Teachers' Retirement System of the state of Kentucky to promulgate
administrative regulations for the administration of the funds of the
retirement system and for the transaction of business.
KRS
161.716 requires the Board of Trustees to
promulgate administrative regulations as are necessary to remove any conflicts
with federal laws and to protect the interests of the members and survivors of
members of the retirement system. This administrative regulation establishes
the types of rollovers from other plans that may be accepted by the retirement
system as approved by the Internal Revenue Code,
26
USC 1 to
9833.
Section 1.
(1) Kentucky Teachers' Retirement System
shall accept member rollover contributions and direct rollovers of
distributions to purchase service credit as authorized under
KRS
161.220 to
161.990.
(2) The system shall accept a direct rollover
of an eligible rollover distribution from:
(a) A qualified plan described in
26 USC
401(a),
401(k),
or
403(a)
of the Internal Revenue Code;
(b)
An annuity contract described in
26 USC
403(b) of the code;
or
(c) An eligible plan under
26
USC
457(b) of the code which
is maintained by a state, political subdivision of a state, or any agency or
instrumentality of a state or political subdivision of a state.
(3) The system shall accept the
contribution of an eligible rollover distribution from:
(a) A qualified plan described in
26 USC
401(a),
401(k),
or
403(a)
of the Internal Revenue Code;
(b)
An annuity contract described in
26 USC
403(b) of the code;
or
(c) An eligible plan under
26
USC
457(b) of the code which
is maintained by a state, political subdivision of a state, or any agency or
instrumentality of a state or political subdivision of a state.
(4) The system shall accept a
member rollover contribution of the portion of a distribution from an
individual retirement account or annuity described in
26 USC
408(a) or
408(b)
of the code that is eligible to be rolled over and otherwise would be
includible in gross income.
Section
2. Rollovers from other plans shall be accepted effective January
1, 2002.
