We'll help you find the right solution for your needs
Does this sound like your topic?
Dad purchased an annuity with ING in one lump sum in the 1990's and didnt add to it after that. The annuity starting date would have been on his 90th birthday. It was a "deferred combination variable and fixed annuity" (no dividends) and it was non-qualified. He chose annuity option "Life 10 year certain". There was a fixed amount for death benefit, which was 20% more than the initial premium. The ING booklet says "if the annuity start date occurs when the annuitant is at an advanced age, i.e. over age 85, its possible that the Contract would not be considered an annuity for federal tax purposes." Another page adds: "in that event, income & gains could be includible in current income." Does any of this mean it would be considered life insurance payout & not taxable to beneficiary?