IRS and PBGC Issue Guidance on Pension Funding Stabilization Issues for Defined Benefit Plans under MAP-21 | Practical Law
The Internal Revenue Service (IRS) issued Notice 2012-61, which provides guidance on the special rules relating to pension funding stabilization for single employer defined benefit plans under Section 430 of the Internal Revenue Code (IRC), including guidance on the annuity substitution rule. The notice reflects changes made by the Moving Ahead for Progress in the 21st Century Act (MAP-21), which was enacted on July 6, 2012. The Pension Benefit Guaranty Corporation (PBGC) also issued Technical Release 12-2, which provides guidance on the effect of MAP-21 on annual financial and actuarial reporting under Section 4010 of ERISA.