Portfolio

Allianz Life Receives Favorable Private Letter Ruling (PLR) from IRS

Ruling is regarding tax treatment of advisory fees taken from nonqualified, fee-based annuities

Company is helping to make fee-based annuities more accessible for RIAs and other advisors

August 26, 2019 — MINNEAPOLIS–(BUSINESS WIRE)–Allianz Life Insurance Company of North America (Allianz Life®) announced today that it has received a favorable private letter ruling (PLR) from the Internal Revenue Service (IRS) regarding the tax treatment of advisory fees taken from nonqualified, fee-based annuities. The ruling will allow for the payment of advisory fees from fixed-indexed or variable nonqualified annuities without creating a taxable distribution event.

“We welcome this ruling as it will allow registered investment advisors (RIAs) and fee-based advisors to more easily integrate annuities into their clients’ holistic financial plans,” said Corey Walther, president, Allianz Life Financial Services, LLC. “The consumer demand for annuities is growing and these products play a critical role in helping ensure clients have a guaranteed and steady income stream throughout their entire retirement.”

Allianz Life is committed to finding innovative ways to better serve RIAs and fee-based advisors. The company has released several fee-based annuities and has collaborated with various advisor applications including Orion Advisor Services, Black Diamond Wealth and Envestnet to help advisors efficiently integrate annuities into their planning process, as well as platforms like DPL Financial Partners that are bringing commission-free insurance products and education to the RIA market.

 

 

About Allianz Life Insurance Company of North America
Allianz Life Insurance Company of North America, one of the FORTUNE 100 Best Companies to Work For® in 2019, has been keeping its promises since 1896 by helping Americans achieve their retirement income and protection goals with a variety of annuity and life insurance products. In 2018, Allianz Life provided $2.8 billion in benefit payments that helped policyholders achieve their financial goals. As a leading provider of fixed index annuities, Allianz Life is part of Allianz SE, a global leader in the financial services industry with over 142,000 employees in more than 80 countries. Allianz Life is a proud sponsor of Allianz Field in St. Paul, Minnesota, home of Major League Soccer’s Minnesota United.
Allianz Life Insurance Company of North America offers insurance and annuities in all states except New York, where it is not authorized to do so. In New York, products are issued by Allianz Life Insurance Company of New York.