IRS Postpones Effective Date of Interest Crediting Rules for Cash Balance and Hybrid Plans | Practical Law
On October 12, 2011, the IRS issued Notice 2011-85, announcing its intention to amend the final regulations under Section 411(d)(5) of the Internal Revenue Code (IRC) to postpone the effective date for changes relating to interest crediting rates under a cash balance or other statutory hybrid plan. The Notice also provides an extended deadline for certain related interim and discretionary plan amendments, including amendments eliminating or reducing plan benefits under Section 411(d)(6) of the IRC, and a special timing rule for a notice of a reduction in future benefits, or 204(h) notice.