The agency will give greater scrutiny to retirement plan distributions and 403(b) universal availability rules, among other things.
According to IRS Revenue Procedure 2018-52, in general, beginning April 1, 2019, plan sponsors must use the www.pay.gov website when filing a VCP submission and paying applicable user fees.
The modifications take into consideration changes related to qualified plan loan offsets and other statutory changes.
One of three bills introduced this week as part of “Tax Reform 2.0,” the Family Savings Act includes many of the provisions written into the popular RESA legislation.
President Trump on Friday called on the Department of Labor to consider the pros and cons of allowing small businesses to jointly offer retirement plans (open MEPs).
If there are missing participants that plan sponsors have not made a genuine effort to find, “the entire plan could be disqualified under the tax code and the plan fiduciaries may be found to have breached their ERISA duties,” says Norma Sharara, a partner with Mercer.
The IRS recently issued a private letter ruling approving a student loan repayment benefit within a retirement plan; ERIC wants this expanded to apply to all plan sponsors.
Many Gen Xers and Gen Yers deferred 90% or more of the Internal Revenue Service (IRS) maximum allowance for contributions to their retirement accounts, according to research by Principal Financial Group, and they are sacrificing other expenses to do so.
The IRS notes that Rev. Proc. 2017-41 modified the pre-approved letter program by combining the master & prototype and volume submitter programs into a new opinion letter program.
Because participants receiving a student loan repayment non-elective contribution can still make deferrals to the 401(k) plan and receipt of the contribution is not dependent on whether the employee makes deferrals to the plan, the IRS ruled the benefit will not violate the “contingent benefit” prohibition of the Income Tax Regulations.
In an open letter asking for more detailed guidance, the ERISA Industry Committee spells out what it says are “examples of missteps” by the DOL, including “issuing letters asserting breaches of fiduciary duty when there is no applicable legal guidance.”
Since the Supreme Court decision about the definition of church plan under the Employee Retirement Income Security Act, the Internal Revenue Service has issued several private letter rulings concerning entities’ church plan status, including an organization with a 403(b) plan.
With some exceptions, PBGC premium payers and data providers can now assume filing relief from the pension insurer in each case that the IRS issues its own disaster-related relief that impacts the filing of Forms 5500.
In an issue snapshot, the Internal Revenue Service (IRS) discusses when a cash balance plan amendment reduces (or potentially reduces) the interest crediting rate.
The Plan Sponsor Council of America has heard concerns from its members that they have been or may be subjected to enforcement actions even though the DOL and IRS have not issued comprehensive guidance on missing participants that provide a clear roadmap for compliance.
Experts with cash balance plan design and administration provider Kravitz define the concept of strategic plan termination—what the pros and cons are, and what an employer’s responsibilities entail under IRS and PBGC regulations.
Under the restricted determination letter program created by IRS Revenue Procedure 2016-37, a plan can now request a determination letter only in very limited circumstances; attorneys with Groom Law Group are calling for a new expansion of the program.