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	<title>New answer on: What Is The Exclusion Ratio Of Immediate Annuities?</title>

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		<title>By: David Racich</title>

		<link>https://insurancelibrary.com/annuities/what-is-the-exclusion-ratio-of-immediate-annuities</link>

		<dc:creator>David Racich</dc:creator>

		<pubDate>Tue, 02 Jul 2013 16:21:50 +0000</pubDate>

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		<description><![CDATA[The exclusion ration on immediate annuities is referring to the part of the payment that represents the tax free return of basis or the original contributions. The exclusion ration is amortized in the annuitized payments to the annuitant’s life expectancy. Once the basis is recovered, the payments going forward are entirely gain and taxed as ordinary income.
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