Here are your articles for Monday, March 02, 2020
Is this email not displaying correctly?
View it in your browser .
Website Tax Services Consulting About Us Contact Us
Share Save

March 31, 2020 Deadline to Correct 403(b) Plan Defects

 

By Nicholas DaPaz, CironeFriedberg, LLP

Revenue Procedure 2013-22 (Rev. Proc. 2013-22) issued by the IRS established a program for issuing opinion and advisory letters for § 403(b) pre-approved plans (prototype and volume submitter plans).  The IRS began accepting applications for opinion and advisory letters regarding the acceptability under § 403(b) starting June 28, 2013.  Previously, the IRS did not review and approve § 403(b) plans.

Per the IRS website, “Rev. Proc. 2013-22 also provides for a remedial amendment period (RAP) to allow an eligible employer to retroactively correct defects in the form of its written § 403(b) plan in order to satisfy the written plan requirements in the § 403(b) regulations either by timely adopting a § 403(b) pre-approved plan or by otherwise timely amending its written § 403(b) plan,” but only if the plan had adopted a written plan document by December 31, 2009.  If a plan did not adopt a written plan document by December 31, 2009, the failure to timely adopt the written plan document must be corrected using the Voluntary Compliance Program of the IRS.  The first day of the RAP is the later of January 1, 2010, or the plan’s effective date.  

The last day of the RAP was later defined by the IRS to be March 31, 2020 under Revenue Procedure 2017-18 (Rev. Proc. 2018-17).  All necessary provisions of § 403(b) plans must either be adopted or adjusted and made effective by this date in form and operation from the beginning of the RAP to comply with IRS regulations. 

Please contact us if you have any questions related to the RAP or the IRS’ restatement requirements.

 
Share Save

Your Comments

CironeFriedberg, LLP
CironeFriedberg, LLP
info@cironefriedberg.com
24 Stony Hill Rd, Bethel, CT 06801
(203) 798-2721
6 Research Dr, Suite 450, Shelton, CT 06484
(203) 366-5876
Friend Me on Facebook
Connect with me on LinkedIn
Saved Articles
Comments and Feedback
Refer A Friend
Your Privacy
Our firm provides the information in this e-newsletter for general guidance only, and does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Tax articles in this e-newsletter are not intended to be used, and cannot be used by any taxpayer, for the purpose of avoiding accuracy-related penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.
Powered by
Copyright © IndustryNewsletters All rights reserved.

This email was sent to: info@cironefriedberg.com

Mailing address: 24 Stony Hill Road, Bethel, CT 06801