The Maryland 746 form is an acknowledgment of receipt of the Safe Harbor Tax Notice and an affirmative election for retirement distributions. It is used by individuals who are about to receive a payment from the State Retirement Agency, allowing them to confirm their understanding of tax implications and their distribution options.
Completing the Maryland 746 form is essential for confirming that you have received the Safe Harbor Tax Notice. This form ensures that you understand your options regarding direct rollovers and distributions. It also allows the Agency to process your payment without waiting the full 30-day period after you receive the tax notice.
What is the Safe Harbor Tax Notice?
The Safe Harbor Tax Notice, titled "SPECIAL TAX NOTICE REGARDING PLAN PAYMENTS," provides important information about the tax implications of receiving a distribution from your retirement plan. It outlines your options for rolling over funds and the potential tax consequences of each choice.
If you do not complete the Maryland 746 form, the State Retirement Agency may not be able to process your distribution request. You might have to wait for the full 30-day period after receiving the Safe Harbor Tax Notice before any payment can be made, which could delay access to your funds.
Yes, you are encouraged to review the Safe Harbor Tax Notice with a tax advisor, accountant, or attorney. Understanding your options is crucial, and consulting with a professional can help you make an informed decision regarding your retirement distribution.
After completing and signing the Maryland 746 form, you should submit it to the State Retirement Agency. Ensure that you include your signature and date, as well as any other required information, to avoid processing delays.
If you have questions about the Maryland 746 form or the distribution process, you can contact a retirement benefits counselor at the State Retirement Agency. Call 410-625-5555 or toll-free at 1-800-492-5909 for assistance.