Fees Allocated to Participant Accounts Not Distributions (Posted June 22, 2005) Technical Tip 147: The following question and answer were from the IRS Q&A Session at the 2003 ASPPA Annual Conference: If QDRO fees and/or loan fees are allocated to a specific participant’s account, is that portion considered to be a taxable distribution? Response: No. View all Tips © 2012 Reish Luftman Reicher & Cohen, a Professional Corporation Important notice: Answers are provided as general guidance on the subjects covered in the question and are not provided as legal advice to the questioner's situation. Any legal issues should be reviewed by your legal counsel to apply the law to the particular facts of your situation.