Connecticut § 10-183q Funds not assignable and exempt from attachment. Alternate payee.

Connecticut Statutes

§ 10-183q — Funds not assignable and exempt from attachment. Alternate payee.

Connecticut·Title 10 Education and Culture·Ch. 167a Teachers' Retirement System

(a)The portion of each member's compensation deducted or to be deducted under this chapter and all rights of each member and of each survivor to receive benefits or other payments under this chapter:

(1)Shall be exempt from the operation of any laws relating to bankruptcy or insolvency; and (2) shall not be subject to garnishment, attachment, execution, levy or any other similar legal process or order of any court, except such compensation shall be subject to a court-approved domestic relations order in favor of an alternate payee. No assignment of any right of a member or any other person to receive benefits or other payments from the system shall be valid. The funds of the system invested in personal property shall be exempt from taxation.

(b)A person selected by the court as an alter

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(a) The portion of each member's compensation deducted or to be deducted under this chapter and all rights of each member and of each survivor to receive benefits or other payments under this chapter: (1) Shall be exempt from the operation of any laws relating to bankruptcy or insolvency; and (2) shall not be subject to garnishment, attachment, execution, levy or any other similar legal process or order of any court, except such compensation shall be subject to a court-approved domestic relations order in favor of an alternate payee. No assignment of any right of a member or any other person to receive benefits or other payments from the system shall be valid. The funds of the system invested in personal property shall be exempt from taxation. (b) A person selected by the court as an alternate payee under an approved domestic relations order may elect, at the time and in the manner prescribed by the board, to have any portion of an eligible rollover distribution or trustee-to-trustee transfer paid directly to an eligible retirement plan by way of a direct rollover. Taxable funds may be distributed as a rollover if elected by such person. For purposes of this subsection, “eligible rollover distribution” and “eligible retirement plan” have the same meanings as provided in Section 402 of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, except (1) a qualified trust shall be deemed an eligible retirement plan only if it accepts such person's eligible rollover distribution; and (2) in the case of an eligible rollover distribution to a surviving spouse, an eligible retirement plan means an individual retirement account or an individual retirement annuity, as defined in said section of the Internal Revenue Code of 1986.

Connecticut § 10-183q (Funds not assignable and exempt from attachment. Alternate payee.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Legislative History

(P.A. 78-208, S. 16, 35; June Sp. Sess. P.A. 91-3, S. 95, 168; P.A. 22-118, S. 181.) History: June Sp. Sess. P.A. 91-3 removed exemption from taxation, effective August 22, 1991, and applicable to taxable years of taxpayers commencing on or after January 1, 1991; P.A. 22-118 designated existing provisions as Subsec. (a) and amended same to designate provisions re exemption from laws relating to bankruptcy or insolvency as Subdiv. (1), designate provisions re garnishment, attachment, execution, levy and other similar legal process as Subdiv. (2) and to add to Subdiv. (2) “or order” and exception re court-approved domestic relations order, added Subsec. (b) re alternate payee and definition of “eligible rollover distribution”, and made technical changes, effective July 1, 2022.