Benefits paid to a spouse or former spouse. Benefits
paid under a QDRO to the plan participant's spouse or former spouse generally must be included in the spouse's or
former spouse's income. If the participant contributed to
the retirement plan, a prorated share of the participant's
cost (investment in the contract) is used to figure the taxable amount.
The spouse or former spouse can use the special rules
for lump-sum distributions if the benefits would have been
treated as a lump-sum distribution had the participant received them. For this purpose, consider only the balance
to the spouse's or former spouse's credit in determining
whether the distribution is a total distribution
