La. Admin. Code tit. 58 § XXI-107

Current through Register Vol. 50, No. 11, November 20, 2024

Section XXI-107 - Repayment of Withdrawn Accumulated Contributions

A. Withdrawn Accumulated Contributions May be Repaid

1. Repayment Permitted

a. Member contributions that have been refunded to the member upon his termination of employment before qualifying for retirement benefits under the DARS may be repaid to DARS by the member upon his reemployment by a participating employer and his participation in and contributing to DARS for a minimum of six months, provided such repayment is made prior to any application by the member for retirement.

2. Amount of Repayment

a. Repayment of a refund shall include the amount refunded plus interest thereon. The trustees shall determine the interest rate applicable to each period during which the accumulated contributions have been refunded and ending with the date of repayment. Such interest shall be determined on a consistent basis and shall apply to all members. Installments shall not be permitted. If funds used for repayment originate from multiple sources, all funds due must be received by DARS within 45 days of each other. Service credit shall not be restored until full payment has been received.

3. Sources of Payment

a. The member shall be responsible for certifying and demonstrating the amount of any refund from a source for which taxes have been paid by the member. Amounts received in a rollover, whether a direct rollover or 60-day rollover will be presumed not to have been taxed; however, the trustees or their delegates may offer the member the opportunity to demonstrate that part or all of the rollover is of after-tax funds, subject to any administrative requirements that the trustees regard as reasonable to demonstrate proof of the after-tax status of the funds. DARS will maintain records of after-tax amounts held for the benefit of the member.

4. Distribution of Refund Amounts

a. Any distribution of amounts repaid by the member that includes after-tax payments shall include the allocable portion of the after-tax payment. Determination of the allocable portion of each payment shall be in accordance with federal income tax rules and the policies and procedures of the trustees.

B. Service Credited Upon Repayment

1. Service Credited

a. All creditable service forfeited upon refund shall be restored upon full repayment of the refund plus interest in accordance with Subsection A above. The accrual rate of such service shall be the applicable rate in place at the time the service was initially earned.

La. Admin. Code tit. 58, § XXI-107

Promulgated by the Board of Trustees of the District Attorneys Retirement System, LR 43877 (5/1/2017).

AUTHORITY NOTE: Promulgated in accordance with the provisions of R.S. 11:1588(A) and R.S. 11:1617(B).