Tax Treatment of Retirement Plans Pensions and Annuities

We discuss the federal income tax treatment and limitations related to qualified employee plan contributions and distributions, as well as commercial annuity contracts. Revision Date: March 2022

Prerequisites are not necessary to participate in this course and no advance preparation is needed.

Course Description

This course discusses the federal income tax treatment of, and limitations related to a) qualified employee plan contributions and distributions, and b) commercial annuity contracts. It examines the qualified plan limits and income taxability of:

  • employer and employee contributions (including designated Roth account contributions);
  • plan loans;
  • life insurance contained in the plan;
  • plan distributions, including distributions as periodic payments and non-periodic payments;
  • required minimum distributions; and
  • rollovers.

The course also examines the tax treatment of lump-sum distributions and periodic payments received under commercial annuity contracts.

Upon completion of this course, you should be able to:

  • Distinguish between the types of qualified employee plans;
  • Recognize the limits imposed on qualified employee plan contributions and benefits;
  • List the requirements applicable to qualified employee plan loans;
  • Apply the federal tax laws to qualified employee plan contributions and distributions;
  • Recognize the tax treatment of nonqualified annuity distributions;  and
  • Identify the tax treatment of annuity contributions and distributions.


Affiliation* CPE Awarded Delivery Method Field of Study Course ID Sponsor ID
CPE Facts
NASBA 3 Self-Study Taxes N/A 103137
CTEC 3/0 Self-Study Federal Tax Law 3038-CE-0224 3038
IRS 3 Self-Study Federal Tax Law FQTGU-T-00474-22-S FQTGU
Texas State Board of Accountancy 3 Self-Study Taxes 100288 002921
Pennsylvania State Board of Public Accountancy 1.5 Self-Study (Non-Interactive) Taxes N/A

* Individuals with other professional credentials should check with their state licensing board or accrediting organization to determine if this program meets their continuing education requirements.



Drake Software is an IRS-qualified sponsor of continuing professional education.


Drake Software is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website,

Drake Software has been approved by the California Tax Education Council to offer Tax Treatment of Retirement Plans, Pensions, and Annuities, 3038-CE-0224, which provides 3 hours of federal credit and 0 hours of state credit towards the annual continuing education requirement imposed by the State of California. A listing of additional requirements to register as a tax preparer may be obtained by contacting CTEC at P.O. Box 2890, Sacramento, CA 95812-2890, at (877) 850-2832, or at


Drake Software is registered with the Texas State Board of Public Accountancy as a CPE sponsor. This registration does not constitute an endorsement by the Board as to the quality of our CPE program.

Course Policies

Send cancellation requests to Requests must be made within 30 days of purchasing the course. To be granted a full refund, you must not have completed and earned continuing education for the course. No refunds will be issued after the course expiration date. For more information regarding the refund policy or to address concerns or complaints regarding courses, contact the DrakeCPE support team at

Other Details
Last Revision March 2022
Course Expiration The CPE portion of this course expires one year from date of purchase