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ordinarily is the participant or beneficiary who, under the plan,
is entitled to receive the distribution. See Darby v.
Commissioner, 97 T.C. 51, 58 (1991); Estate of Machat v.
Commissioner, T.C. Memo. 1998-154; Smith v. Commissioner, T.C.
Memo. 1996-292.
Section 402(e)(1)(A), however, provides an exception to this
general rule. Section 402(e)(1)(A) provides that an "alternate
payee", who is the spouse or former spouse of the plan
participant, shall be treated as the distributee of any
distribution or payment made to the "alternate payee" under a
"qualified domestic relations order" (QDRO) as defined in section
414(p). Therefore, a distribution made to such an alternate
payee under a QDRO will be taxable to that alternate payee, and
not to the plan participant, because section 402(e)(1)(A) treats
the alternate payee as the distributee.
As originally enacted, the QDRO rules did not affect
governmental plans. See H. Rept. 101-247, 1443 (1989). In 1989,
however, Congress amended the tax rules relating to governmental
plans to conform them to the qualified plans discussed above,
applying the QDRO rules to distributions from governmental plans.
Omnibus Budget Reconciliation Act of 1989 (OBRA), Pub. L. 101-
239, sec. 7841(a)(2), 103 Stat. 2427-2428.
Section 414(p)(11) is applicable to transfers of marital
interests after the date of enactment of OBRA, December 19, 1989,
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