Therefore gay couples will no longer be hit with the tax penalty when a retirement account is automatically withdrawn when one's partner dies. He or she can now roll it over to their own retirement account.
Two little-noticed features of the law was praised by gay rights groups. Under the law, a person's retirement benefits could transfer to domestic partners or other beneficiaries such as sibling or parent. And workers could draw on retirement funds for medical or financial emergencies involving domestic partners or other beneficiaries.
The Human Rights Campaign, a gay rights group, said it was the first time federal legislation has on a broad basis treated same-sex couples similarly to married couples. "Today marks an important day for fairness under the law in America," said its president, Joe Solmonese.
Saturday, August 19, 2006
Pension Protection Act of 2006 and Fairness for Same Sex Couples
President Bush signed the Pension Protection Act of 2006 this past week. It is being held as the most extensive revision of the nation's pension law in three decades. This Act is great news for gay and lesbian couples:
Posted by Boston Bud