401k on form 433

Home Forums Offers-in-Compromise 401k on form 433

Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • #46166
    Lisa Judson
    Participant

    My client has a 401k account and is over full retirement age but is still working. Would the value of the asset, for the 433, be 80% of face value as it is an investment account that he can withdraw at any time due to his age or would it be the 50% of the value that his plan allows for loans against the account?

    Thanks for your help!

    #46167
    Ira Levine
    Participant

    I would think that it would be the 80% (no penalty) of the value. What the taxpayer can borrow is not the value. I hope this helps.

    #46168
    THOMAS BRIDGMAN
    Participant

    I agree — the IRS would want what the taxpayer can access.

Viewing 3 posts - 1 through 3 (of 3 total)
  • You must be logged in to reply to this topic.