The QDRO rules applicable to governmental plans and church plans will apply to Section 457 plans for purposes of determining whether a distribution is made under a QDRO. (Code Sec. 414(p)(11))

Thus, where a spouse (or former spouse) of a participant in a Section 457 plan receives a distribution under the terms of a QDRO from the Section 457 plan, the spouse (or former spouse) will be treated as the distributee and taxed on the benefits received. Section 457 plan distributions made to an alternate payee other than a spouse (or former spouse) under a QDRO are taxable to the participant.