Frederick Wertheim

IRS Announcement Provides Temporary Relief to IRA Owners; DOL Considering Additional Relief: IRS Announcement Forestalls Disqualification of Many IRAs, Pending Further DOL Consideration of Additional Relief, Including Potential Class Exemption
Jeffrey D. Hochberg,Malcolm S. Hochenberg,Andrew S. Mason,David J. Passey,Max J. Schwartz,Frederick Wertheim, December 14, 2011
Today, in Announcement 2011-81 (the “IRS Announcement”), the Internal Revenue Service (the “IRS”) provided temporary relief to IRA owners from the recently issued Department of Labor (“DOL”) Advisory Opinion 2011-09A (the “DOL Opinion”).

DOL Advisory Opinion Has Potential to Adversely Impact IRA Owners: Common Indemnification and Security Arrangements Could Cause IRAs to Lose Their Tax-Exempt Status
Jeffrey D. Hochberg,Malcolm S. Hochenberg,David J. Passey,Max J. Schwartz,Frederick Wertheim, December 7, 2011
In Advisory Opinion 2011-09A (the “DOL Opinion”), released to the public on November 29, 2011, the Department of Labor (the “DOL”) opined that common indemnification arrangements covering IRA brokerage accounts are not permitted under Prohibited Transaction Exemption 80-26...