Nonqualified Deferred Compensation Plans - do distributions from a non qualified deferred comp plan have to be reported and if so do I use form 1099 Misc?

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1289441

2026-04-08 12:35

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Generally a non Q plan means the recepient pays tax on the $ as they are deferred and as they grow...hence the withdrawals aren't taxable (because they were already taxed as payroll). If this plan had some deferreal of current income (either the contribution or the growth of the corpus), then some type of 1099, or likely even inclusion in W-2, on withdrawal wopuld be needed. The employer provides W-2/1099...not the recepient.

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